Just days after Stellantis CEO Carlos Tavares divulged the automotive conglomerate was mulling building electric vehicles for joint venture partner Leapmotor in Europe, the always interesting Tavares spoke further, sharing an openness to also assemble the Chinese EVs in North America, most likely the US, if necessary. Here’s the latest.
Following a very public falling out with inherited joint venture partner GAC Group in China, Stellantis found a new suitor specializing in Chinese EVs in Leapmotor in October 2023. The Netherlands-based OEM invested $1.6 billion to own 21% of the Leapmotor while securing exclusive rights to the manufacturing, sale, and export of its EVs everywhere outside the Chinese market.
Last week, Stellantis CEO Carlos Tavares told Italian media the company was considering the idea of building Leapmotors vehicles at its Mirafiori plant in Turin, Italy, to serve the European market as long as there is a good business case to support the strategy.
Another source close to the matter said Leapmotor EV production in Turin could begin as early as 2026 with a target of 150,000 units produced annually. Meanwhile, European governments are threatening to crack down on Chinese exports entering their home turf, so Tavares has proposed a solution – build the vehicles “inside the bubble.”
According to a new report, North America is also on the table for Stellantis. Could we see the OEM build Chinese EVs for Leapmotor in the US?
Stellantis could build Chinese EVs in US or Europe
During a video conference from New York on Tuesday, Stellantis CEO Carlos Tavares confirmed with Reuters that the company is considering building EVs for Chinese joint venture partner Leapmotor in Europe, North America, or other markets.
Tavares said there’s no reason to exclude any country that is currently home to a Stellantis manufacturing facility, but Europe and the US are two of its largest markets – hence why they are likely the most probably choice to establish Chinese EV production. Tavares went on:
At one point in time, Western governments may be tempted to block Chinese exports. We have the opportunity to assemble Leapmotor cars inside the bubble. It could be Europe it could be North America.
While Leapmotor production in Europe appeared to be the most likely outcome days ago, the mention of North America now muddies the waters of what route Stellantis might take. That is, if it even goes through with Leapmotor EV builds at all. Tavares shared that Stellantis needs to deliver competitively-priced models to compete with Chinese EV makers, which is more of a nod to Europe as several automakers like NIO, XPeng, BYD, and ZEEKR have already set up shop.
The US is another story since none of those Chinese automakers currently sell passenger EVs in North America yet. This is an exciting development in an ongoing story, especially as many legacy US and European automakers backtrack on their EV strategies, all while Chinese automakers continue to push full speed ahead.
Images: Stellantis
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Volkswagen Group Africa has officially begun production of a modern electric farm tractor at its multifunctional facility in Gashora, Rwanda in a bid to advance modern, low-emission agricultural initiatives in Africa.
Part of a larger Rwandan initiative called the GenFarm Project, the new VW tractor is part of a “holistic ecosystem” of electrified farming machinery set to be used throughout rural Africa – where liquid fossil fuels are often just as difficult to come by as electricity. The goal is to provide machinery that’s both sustainable and reliable.
“We are growing our footprint in Africa and regard Rwanda as a key growth market. This project demonstrates our commitment to sustainable practices and highlights our ability to provide mobility solutions to the rural community in addition to the urban community currently serviced by our Volkswagen Mobility Solutions Rwanda business,” explains Martina Biene, Volkswagen Group Africa Chairperson and Managing Director. “The GenFarm Project fosters technological innovation and aligns with Volkswagen Group’s strategy to generate meaningful value for both society and the environment through sustainable mobility.”
The GenFarm project will eventually provide mobility services for transportation of goods and people. In June 2023, Volkswagen Group Africa signed a Memorandum of Understanding (MoU) with the Government of Rwanda to provide land for the establishment of the GenFarm Project.
The Volkswagen tractors’ electric motor produces 20 kW (about 27 hp), making it about the same size as the Solectrac product (which hasn’t worked out well in the US, it must be said). That motor gets its electrons from a 32 kWh swappable battery. Batteries are swapped/charged at the Empowerment Hub to minimize downtime. DC fast charging isn’t available, but the relatively small, swappable batteries (hopefully) mean that’s not much of a problem.
The GenFarm project hopes the new VW electric tractor will help clean up Rwanda’s agricultural sector, which currently accounts for some 25% of the national Gross Domestic Product.
Electrek’s Take
We’ve talked a lot about the lack of new farmers in America, but the problem is global – especially as western companies, and western ideas about consumerism, continue to spread. Products like this electric tractor from VW will make farming cleaner, quieter, and (hopefully) more attractive to young workers.
A new, all electric Peterbilt 579EV is in-service at Honda’s Lincoln, Alabama assembly plant, where it’s busy transporting newly-built Honda cars from the plant to a nearby railhead for shipment to dealers across the country.
Part of a pilot program between Honda, Alabama Power, and Virginia Transportation Corp., the new electric semi truck will help stakeholders gather data about the practicality and performance of the battery-powered Pete and use it to generate case studies for broader electrification initiatives. Other supporters of the pilot project include the Alabama Clean Fuels Coalition and, of course, Peterbilt.
“We remain committed to delivering for our customers and the environment,” offered Leo Doire, owner and CEO of Virginia Transportation Corp. “Our new Peterbilt 579EV model will be tested to determine how well it performs against the high productivity demands of our operations. The partners we have at the table will help us maximize this opportunity and prepare to scale up if we get the results we are hoping for.”
The truck itself has been spec’ed to be perfect for the kind of short haul and drayage applications Honda has in mind. This particular Peterbilt 579EV is fitted with PACCAR’s 400 kWh battery and a 670 hp electric motor good for an impressive 2,050 lb-ft of peak torque at 0 rpm.
The truck offers 150 miles of operating range and can be charged in about 3 hours on a 120 kW charger installed specifically for that purpose. A charger, it should be noted, that was partially paid for by Alabama Power.
“Alabama Power’s ‘Make Ready’ program provides businesses with valuable rebates to help reduce the upfront costs of installing EV infrastructure,” says Alabama Power Electric Transportation Manager Hasin Gandhakwala. “We are committed to partnering with customers who are exploring state and federal grant opportunities. Alabama Power is dedicated to advancing EV technologies to better serve the needs of our customers.”
With the big Pete’s 82,000 lb. GVWR and 150 miles of range between charging sessions, it seems like these guys will be making a lot of back-and-forth runs between the Honda plant and the CSX terminal to me. Here’s hoping they see the benefits of electrifying the rest of their vehicle transport fleets somewhat sooner than later.
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