According to Stellantis, one of the key points for advancing the electric transition remains political support. According to Carlos Tavares, CEO of the automotive group, it is essential for governments to intervene with financial incentives to stimulate electric car purchases, “otherwise markets will struggle to adapt to the electric transition.”
Carlos Tavares calls for greater government incentives to boost electric car sales
During the presentation of the STLA Frame platform, Tavares highlighted how the price gap between electric and combustion vehicles represents “a significant challenge for consumers.” According to the Stellantis CEO, it’s the end customer who needs support and assistance. The additional gap between the price of this transition and the excessive final cost for the average consumer could make it difficult to achieve sales targets “if governments don’t offer adequate financial support.”
The promotion of electric cars is a theme shared by Thierry Breton, European Commissioner for Internal Market and Industry. Breton suggested that it doesn’t all depend on incentives, as highlighted by Tavares. Beyond consumer support, according to Breton, “it’s necessary to build an ecosystem of components for electric vehicles,” also considering current shortages in terms of know-how.
The green transition in the transport sector is seen as a challenge that requires resources, knowledge, and collective commitment. Stellantis, which has already initiated a series of investments to achieve its sustainability goals, plans to allocate over 50 billion euros to electrify its fleet by 2030. The goal is to exclusively sell electric cars in Europe by that year, while in the United States, they aim for a 50% share of electric light vehicles.
Despite the uncertainty still affecting the market, Stellantis reiterates the importance of continuing with its strategy, including developments in extended ranges up to 1,100 km, to become increasingly competitive. The choice to push for electrification, as repeatedly emphasized by Tavares, is seen as an ethical commitment toward reducing global warming, an objective that Stellantis considers fundamental, despite economic difficulties and the slow market response.