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Stellantis and Chinese electric vehicle brand Leapmotor are preparing to deepen their allegiance as both companies angle to expand their electric vehicle footprint across Europe.
The partnership began in 2023 when Stellantis purchased an approximately 21% stake in Leapmotor and launched a joint venture focused on selling and manufacturing Leapmotor vehicles outside of China. The companies now say they are exploring new ways to increase production efficiency while reducing manufacturing costs.
One major focus is Spain, where the companies are evaluating expanded activity at Stellantis’s Zaragoza facility. Plans under consideration include the addition of a production line for a future electric SUV from the Opel brand. Leapmotor’s C-SUV B10 could also be assembled at the same site, creating potential savings through shared components and manufacturing systems.
According to the proposal, production of the B10 may begin before the end of this year, while the new Opel electric SUV is expected to enter production in 2028.
Elsewhere in Spain, Stellantis’s Villaverde plant in Madrid could become another key part of the collaboration. The facility is being considered for production of a future Leapmotor model beginning in 2028. The move would help utilise factory capacity after the planned conclusion of Citroen C4 production at the site.
The companies added that discussions are ongoing regarding a possible transfer of ownership of the Villaverde factory to the Spanish division of the Stellantis-Leapmotor joint venture.
Aside from manufacturing, the automakers intend to work together on purchasing operations to improve pricing competitiveness, strengthen supply chain stability and speed up the launch of new electric vehicle models in international markets. The partnership represents a wider trend as Western automakers seek to collaborate with Chinese rivals in an effort to stay market competitive.
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