Stellantis is deepening its bet on Chinese manufacturing partnerships with a roughly $1.17 billion deal to produce electric vehicles with Dongfeng Group. The automaker will build two new Peugeot EVs starting in 2027 at the partners' joint venture plant in Wuhan, along with two Jeep electric models.

The combined investment totals around 1 billion euros, with Stellantis contributing approximately 130 million euros toward the project. This marks another step in Stellantis's strategy to tap Chinese partners' expertise in EV manufacturing, where domestic players have raced ahead of many Western competitors.

The timing matters: just last week, Stellantis revealed plans to produce two Leapmotor models in Spain. The back-to-back deals signal an aggressive push to combine Western brand appeal with Chinese manufacturing efficiency as competition in the global EV market intensifies.