Bad news continues to accumulate for Stellantis. While proceeding with the planned closures of the Pomigliano d’Arco, Pratola Serra, and Termoli plants, scheduled between November 11 and 29, other production sites for assembly and engine manufacturing in Italy are also preparing to undergo the same kind of suspensions. In particular, those that produce the Fiat Panda. A measure taken by the automotive group to try to deal with increasingly complicated market conditions. As also demonstrated by the decline in deliveries and a decidedly negative third quarter of 2024, which Stellantis communicated a few days ago.
Stellantis in crisis, suspends production of Fiat Panda, one of the best-selling cars of the entire group
Market conditions continue to be very difficult, pushing Stellantis to revise its estimates for 2024. The note issued on October 16 has already indicated planned closures that will affect the plants in Pomigliano d’Arco, Termoli, and Pratola Serra for several days, in the period between November 11 and 29. These are in addition to the suspension of production until November 1 at the historic Mirafiori plant.
The latter produces the electric city car Fiat 500e and two Maserati sports cars. Stellantis has also stated that it is determined to “guarantee the continuity” of its operations in Italy, and beyond. However, it emphasized that it is facing a challenging path, requiring difficult choices and offering no easy solutions.
Words that seem to anticipate a new wave of layoffs, a hypothesis that has not been denied even by company executives. Especially if things do not improve in the immediate future. In the meantime, the company is using those production suspensions that can help it reduce an inventory that has been inflated excessively in recent months. A signal in this direction comes from North America, where the group now aims to have no more than 330,000 vehicles in dealer inventories by the end of the year.
Regarding the Fiat Panda, according to data published by market researchers at Dataforce, its European sales fell to 3,873 units in August, compared to 6,505 in the same month of 2023. A real collapse that has evidently convinced Stellantis to resort to production suspension for now. It remains to be seen whether the situation can improve quickly or if Stellantis is spiraling into an increasingly complicated situation. The market continues to be in great difficulty, but not as much as Stellantis. In fact, companies like General Motors and Ford are even growing. Is the problem, therefore, Stellantis itself?