Stellantis pulls out of Jeep production in China



07/29/2022 3:57 AM


Stellantis Concern has withdrawn from joint production of Jeep vehicles in China because of concerns about future sanctions, CEO Carlos Tavares said.



The plant had been operating in China for 12 years and was announced to be closed on July 18.

According to Mr. Tavares, in recent years the company has noticed "more and more cases of political interference in business operations in China." "We don't want to be a victim of reciprocal sanctions, as has happened recently with other companies in other parts of the world," he said in an interview with Bloomberg.

Stellantis said the joint venture (JV) it set up in 2021 with China's Guangzhou Automobile Group has been unprofitable in recent years. Stellantis said the formal reason for ending the cooperation was "lack of progress" in its plan to increase its share in the joint venture to 75%.

source: bloomberg.com

 


More