- Italy’s Industry Minister Adolfo Urso has said Carlos Tavares “didn’t understand reality”.
- Stellantis and Italian officials have had numerous disagreements over the past year.
- The government wants the group to make a strong commitment to the local market.
After Carlos Tavares suddenly left Stellantis at the start of December, Italian authorities are hopeful they will be able to fix their fractured relationship with the group and ensure it keeps a strong presence in the country.
While recently speaking at a political event prior to a large meeting with Italy’s automotive industry, Prime Minister Giorgia Meloni said: “We evaluate the economic cases on their own merits. This is as true for Stellantis as it is for any other company operating in Italy. If the approach is constructive, if there is a willingness to maintain factories and jobs, we will be ready to do our part.”
Read: Will Stellantis Keep Autobianchi And Innocenti? It All Depends On The Law
Stellantis and Italian authorities have been butting heads for much of the past year. The conglomerate is Italy’s sole mainstream car manufacturer and Tavares has previously committed to increase local production to 1 million units, a significant increase from the roughly 750,000 vehicles it built last year. Despite this, tensions remain high, and Italy has courted several Chinese car manufacturers, attempting to persuade them to establish manufacturing facilities in the country.
In July, it was reported that the Italian government could seize two dormant brands from Stellantis: Autobianchi and Innocenti. Local laws allow the government to obtain historic brands that have been unused for at least five years. In August, Italy issued a stern warning to Stellantis that it needs to provide a firm commitment to a promised battery production plant or else it risks losing €370 million ($389 million) worth of public funds from the EU’s post-COVID-19 recovery fund.
According to Italy’s Industry Minister Adolfo Urso, Stellantis needs to make a strong commitment to the nation and protect its local interests.
“There must be an assertive Italy plan within Stellantis’ industrial plan that protects national factories,” Urso said, as reported by Reuters. “There’s no more Tavares, he didn’t understand the reality,” he added.
It’s understood that Stellantis chairman John Elkann called Meloni when Tavares announced his departure as CEO. Urso wants the brand to pledge “significant financial resources” to the country.
