Italy cuts funding for Stellantis and Mercedes – Benz

The Italian government is cutting down on the Stellantis and Mercedes – Benz battery plant, a project which faced delays due to the slowing down of the demand for electric vehicles in Europe. The public funds originally allocated to the Automotive Cells Company (ACC), the shareholders of which include the two car companies, will be transferred to other green energy initiatives, since the company failed to provide a clear timetable for the development of the battery plant of electric vehicles, said today (17.9.2024) Minister of Industry Adolf Urso (Adolpho Urso). ACC, which had designed plans to build three battery factories in Europe with a total investment of 7 billion euros (US$7.8 billion), discontinued preparatory work in Termoli, on the east coast of Italy. Stellantis will continue to manufacture engines at the Termoli plant until 2028 to contribute to mitigating the effects of the delay of the battery factory, said a representative of the company.