“We won’t make batteries where electricity isn’t sold”

“We won’t make batteries where electricity isn’t sold”
“We won’t make batteries where electricity isn’t sold”

The postponement of the construction project of the gigafactory in Termoli to a later date puts at risk a crucial opportunity for industrial development at a national level. This project, which seemed imminent just a few weeks ago, has been suspended by ACC (Automotive Cells Company), the joint venture between Stellantis, Mercedes and Total, which has decided to postpone any decision until the end of the year. A move that highlights the criticality of the European industrial transition phase in the automotive sector, with significant repercussions on the production chain in Abruzzo and Molise.

Confirmation comes from a statement today from Carlos Tavares, CEO of Stellantis, which falls – in an already freezing climate – like yet another cold shower: “Termoli? We will not make batteries where electricity is not sold”. Tavares, during a call after the Investor Day, three years after the birth of the Acc group in Michigan, said that regarding the Termoli plant “the decision is taken by Acc, not by Stellantis. It is clear that we are in a European market where there are a lot of tensions about what to do with electric, there is a lot of contradiction in the EU, and the situation is very different in different countries. We won’t make batteries in countries that don’t use electricity.”

Acc has decided to “pause” the project, adds Tavares, “to see what happens after the European elections and in this pause study a cheaper chemistry to meet the needs of the middle class. We have not canceled Termoli. There we make motors, we don’t make batteries, because we don’t sell electric. It’s normal for there to be a pause, because you don’t want to waste resources and use this time to try another solution.”

Meanwhile, the general secretaries Carmine Ranieri (CGIL Abruzzo Molise), Giovanni Notaro (CISL Abruzzo Molise), Michele Lombardo (UIL Abruzzo) and Tecla Boccardo (UIL Molise) underline in a note the urgency of the intervention of the Government and local institutions, starting from the Molise Region.” It is essential that Stellantis makes concrete commitments to guarantee production allocations in the Termoli engine factory, where 2,000 people are employed, ensuring work continuity in the coming years. Furthermore, ACC and Stellantis must provide guarantees on the future of the gigafactory, avoiding that the difficulties of the electric market could cancel the project in Italy in favor of French or German factories” is the summary of the note sent.

Two main problems highlighted unanimously by the trade unions: Production commitments in Termoli (“It is essential that Stellantis makes concrete commitments to guarantee production allocations in the Termoli engine factory, where 2,000 people are employed, ensuring work continuity in the coming years”) and lack of clarity on the Gigafactory Project. “ACC and Stellantis must provide guarantees on the future of the gigafactory, preventing the difficulties of the electricity market from canceling the project in Italy in favor of French or German factories” explain the secretaries.

The topic of the suspended negotiation on the construction of the Termoli gigafactory fell like a bolt of lightning on the Termoli electoral campaign right on the eve of the elections. Then, last June 11th, the official announcement arrived during the meeting in Rome at Mimit, Ministry of Business and Made in Italy. The unions have expressed concern about ACC’s attitude, which suggests that the project is not simply postponed, but suspended without any certainty about the future. The Ministry confirmed that it had only recently received the technological changes proposed by ACC and reserves the right to evaluate their compatibility with the timing and methods of financing. The Ministry shares the unions’ concerns and has requested guarantees on maintaining employment levels. In the next few days, a specific table for Molise will be convened with Stellantis, the Region, the supply chain and the unions.

ACC justified the postponement by citing slowing demand for electric vehicles and the need for technology upgrades. Stellantis would have decided to enhance production at the Termoli plant with a new one Fiat 500 hybrid and the extension of the commercial life of the Fiat Panda hybrid until 2029. A spokesperson for the group, as reported by press agencies, reiterated the importance of the Termoli plant for the production of internal combustion engines and the strategy for reducing CO2 emissions.

read also

Rome

The gigafactory in Termoli has been frozen, confirmed to the Ministry. The Region is now asking for more guarantees

The unions are worried, fear is rising. They are calling on the government to intervene to get clarity from ACC on future strategies, given that they are almost 400 million in public incentives are at stake. They also ask Stellantis to assume its responsibilities by clarifying which engines will be produced in Termoli and for how long. The Ministry has proposed reconvening a meeting in September, but the unions insist that a clear strategy is needed at the general automotive table, to be taken up by the Prime Minister in the coming weeks.

The concerns are accentuated by the fact that Stellantis is opening gigafactories in other countries: a year ago the site was inaugurated in Douvin in France and the next will be in Germany, again in collaboration with Mercedes, while the future of Termoli remains uncertain.

 
For Latest Updates Follow us on Google News
 

PREV Selex becomes the first player in Italian large-scale retail trade
NEXT Who’s afraid of greenwashing? Here are the new laws on sustainable finance