Stellantis takes stake in Leapmotor
Stellantis is investing in Chinese EV maker Leapmotor and is buying a 20 per cent share in the latter for 1.5 billion euros. The partnership is supposed to boot Leapmotor sales in China, Stellantis writes – and in Europe.
The deal also includes the formation of Leapmotor International. It is a joint venture of which Stellantis will hold the majority share with 51 per cent. The remaining 49 per cent go to Leapmotor. The Stellantis-led joint venture will have “exclusive rights for the export and sale, as well as manufacturing, of Leapmotor products outside Greater China.”
Stellantis will have two seats on Leapmotor’s Board of Directors and appoint the CEO of the Leapmotor International joint venture. The deal is still subject to regulatory approvals.
“We feel it’s the perfect time to take a leading role in supporting the global expansion plans of Leapmotor, one of the most impressive new EV players who has a similar tech-first, entrepreneurial mindset to ours,” says Stellantis CEO Carlos Tavares. “Through this strategic investment, we can address a white space in our business model and benefit from Leapmotor’s competitiveness both in China and abroad.”
Exports to Europe are expected to begin in the second half of next year. It will help Stellantis meet its goal defined in the Dare Forward 2030 strategy. The carmaker wants all its brands to only sell electric passenger cars in Europe from 2030. In the US, the BEV share in the sales mix of passenger cars and light commercial vehicles (including pickups) is 50 per cent.
In China, Stellantis plans to use Leapmotor’s “highly innovative, cost-efficient EV ecosystem,” which, as leaked in advance, likely refers to the Chinese manufacturer’s Leap 3.0 platform. The latter was presented at the IAA in Munich in September. Leapmotor already emphasised at the premiere that it was open to cooperation agreements, as the company not only wants to build cars but also become “a provider of core technologies for electric vehicles”, as Zhu Jiangming, CEO of Leapmotor, put it.
Stellantis is currently struggling in China. Last year, the group closed its only joint venture plant in China – which it ran together with GAC – after an attempted takeover by Stellantis failed. The company blamed this on the increasing interference of Chinese politicians in the economy.
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