Stellantis to extend halt in output of electric Fiat 500 on poor demand

MILAN (Reuters) - Stellantis (NYSE:STLA ) will extend the suspension of production of its Fiat 500 electric city car until Nov. 1 due to poor demand, the automaker said on Tuesday.

The car is made at Stellantis' historic Mirafiori plant in Turin, northern Italy. The company previously said production of the model had been stopped until Oct. 11.

Stellantis told trade unions the electric car market in Europe is "in deep trouble", it said in a statement.

A global slowdown in sales of electric vehicles (EVs), partly due to diverging policies on green incentives, has forced automakers worldwide to adjust their EV plans.

Despite the temporary halt in output, Stellantis reiterated its plan to invest 100 million euros ($110.93 million) in its Fiat 500e with a high-performance battery, while from early 2006 it will begin producing the new 500 Hybrid.



Earlier this year Italy launched a $1 billion plan to help drivers switch to cleaner vehicles, with subsidies for purchases of fully-electric cars.

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Source: Investing.com