Stellantis, Dongfeng Expand Partnership for EV Production

Stellantis and Dongfeng Group have officially entered a new phase of their long-standing industrial partnership, announcing an expansion of their joint operations in China. The two automotive giants have signed a strategic cooperation agreement aimed at bolstering the Dongfeng Peugeot Citroen Automobile joint venture, known as DPCA.

Under the terms of the agreement, the DPCA manufacturing facility in Wuhan will be transformed into a hub for the production of next generation vehicles. Starting in 2027, the plant is scheduled to begin manufacturing two all-new Peugeot electric models. These vehicles will be based on the design philosophy recently showcased at the Beijing Auto Show. Additionally, the facility will produce two new Jeep branded off-road energy vehicles intended for both the domestic Chinese market and international exports.

This initiative represents a combined investment of over 8 billion Chinese Yuan, which is approximately 1 billion euros. The project is supported by local industrial policies from the Hubei province and the Wuhan municipality. Stellantis is expected to contribute roughly 130 million euros to this specific venture.

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Beyond the immediate manufacturing plans, the two companies have also signed a non-binding memorandum of understanding to explore further avenues for cooperation. This broader agreement seeks to leverage the collective research, development, and scaling capabilities of both organisations.

Antonio Filosa, CEO of Stellantis, noted that the move allows both parties to utilise their shared expertise to introduce cutting edge electric technology to a global audience. Similarly, Dongfeng Group Chairman Qing Yang emphasised that the revitalisation of DPCA remains a top strategic priority for his company. While the agreement marks a major milestone, the final implementation remains subject to customary regulatory approvals and the finalisation of operational principles.