Stellantis will begin manufacturing a new range of affordable electric vehicles in Europe, targeting the small-car segment with production slated for 2028 at its Pomigliano d'Arco facility near Naples, Italy. The automaker aims to capture volume in an underserved market segment with accessible pricing.

The E-Car project represents Stellantis's push into cost-effective electric mobility, leveraging multiple brand offerings to maximize market reach. By partnering with external suppliers and sharing development costs, the company hopes to accelerate time-to-market while maintaining competitive pricing structures across its European operations.

The Italian plant, which currently produces the electric Opel Rocks-e, will serve as the primary hub for this new vehicle family. This move signals Stellantis's strategy to compete directly with Chinese automakers flooding the European market with budget-friendly EVs, while supporting domestic manufacturing jobs in Southern Italy.

With European demand for affordable electric vehicles growing rapidly, Stellantis's entry could pressure margins across the industry while establishing the company as a volume player in the crucial sub-$25,000 segment.