MAJOR carmaker Stellantis is halting production across multiple plants due to declining demand for its vehicles.
Starting today, six key plants across Italy, France, Germany and Poland will pause operations – affecting popular models from brands such as Fiat and Alfa Romeo.
Car giant Stellantis is halting operations at six key factories across Europe[/caption]
Stellantis’ Pomigliano plant near Naples has temporarily shut down, leaving thousands of employees furloughed[/caption]
With $2.65 billion in losses reported this year, Stellantis faces mounting challenges, including US tariffs and shrinking sales in Europe[/caption]
Stellantis has confirmed production at its Poissy site near Paris will pause for two weeks, impacting models like the DS3 and Opel Mokka[/caption]
The industry giant, which also owns household names like Peugeot, Citroen, DS, Vauxhall/Opel and Jeep, has been grappling with mounting financial losses in recent times.
According to Bloomberg, these challenges have now forced them to take action and temporarily halt production at several facilities, beginning with its Pomigliano factory near Naples, Italy, on September 29.
The Pomigliano factory, responsible for Fiat Panda and Alfa Romeo Tonale production, will pause operations from September 29 to October 10, with the Panda resuming earlier on October 6
Stellantis said: “This measure aims to rebalance production capacity and actual demand, avoiding intermittent production and optimising the plant’s production structure.”
Bloomberg also reports that disruption is expected to extend to Stellantis’ factories in Poland, two facilities in Spain and its Eisenach site in Germany.
As reported by Car Scoops, approximately 3,800 workers will be furloughed during the shutdown of the Pomigliano plant.
What’s more, Stellantis confirmed that production at its Poissy site near Paris, France, which builds the Opel Mokka and DS3, will be paused from October 13 to October 31.
Speaking with Reuters, a company spokesperson said this time will be used to perform site maintenance and conduct training courses.
Stellantis’ struggles have been widely reported, with the automaker posting a $2.65 billion net loss in the first half of the year.
Tariffs imposed by President Donald Trump have further exacerbated its challenges, impacting sales in the US and increasing costs while reducing shipments.
WHEN IT RAINS
This latest news comes off the back of a truly difficult time for Stellantis.
The brand has posted significant losses in early 2025, suffered a drop in sales and even lost their CEO, Carlos Tavares, amid financial difficulties and a number of strategic missteps.
And when it rains, it pours, as in recent weeks, the brand has been forced to recall thousands of Citroen and DS models fitted with Takata airbags, after they were linked to a number of fatal accidents.
The recall left 120,000 motorists unable to drive their vehicles and even more models have since been recalled for a separate issue.
Back in March, Stellantis also closed its Luton van factory – after 120 years of operation – to consolidate electric van production at its Ellesmere Port site in Cheshire.
The closure, which Stellantis blamed on the UK’s zero-emission vehicle, or ZEV, mandate, put thousands of jobs at risk.
Meanwhile, in the US, Stellantis is walking a cultural tightrope with its iconic Dodge and Ram brands, with the company struggling to introduce electric replacements for its legendary muscle cars and trucks without alienating its loyal customer base.
