Stellantis, one of Europe’s leading car manufacturers, is gearing up to face fierce competition from Chinese carmakers in the electric vehicle (EV) market. Carlos Tavares, the CEO of Stellantis, firmly stated that they are ready to “fight” against the Chinese offensive. Tavares expressed confidence in their ability to demonstrate their hard work, superior technology, and fierce competitiveness.
One of Stellantis’ significant steps in expanding its EV production capacity is the establishment of a new production line in Serbia. The company signed a 190 million euro deal with Serbia in 2022 to produce an electric vehicle at its manufacturing plant in Kragujevac. This move solidifies Serbia’s position as a key European supplier of sustainable raw materials, batteries, and electric vehicles.
For Serbia, this partnership represents a tremendous opportunity. Serbian President Aleksandar Vucic emphasized the significance of being the only country in the Western Balkan region with an electric car production facility. The plant in Kragujevac is not only expected to contribute to the growth of Serbia but also to the entire region.
Serbia’s ambitions in the EV industry extend beyond manufacturing alone. As part of its commitment to a more sustainable economy, Serbia has granted Rio Tinto a license to develop Europe’s largest lithium mine. This move could potentially have a significant impact on the continent’s electric vehicle industry. Serbia aims to produce an annual lithium output of 58,000 tons, which would be enough to support the manufacturing of approximately 1.1 million electric vehicles or 17% of the European market.
Furthermore, Serbia recently signed a deal with the European Union (EU) to collaborate on sustainable raw materials production, battery manufacturing, and EVs. This agreement allows the EU access to raw materials mined in Serbia and strengthens their ties in the pursuit of a greener future. The CEO of Mercedes-Benz, Ola Kaellenius, expressed their interest in becoming a potential customer of Serbian lithium and showed support for bringing more of the battery value chain to Serbia.
In conclusion, Stellantis is ready to face the challenges posed by Chinese carmakers in the European EV market. Serbia’s partnership with Stellantis and its ambitions in the EV industry position the country as a key player in the region’s sustainable economy. With the establishment of a new production line and the development of Europe’s largest lithium mine, Serbia is well-positioned to contribute significantly to the growth of the electric vehicle industry. The recent agreement with the EU further strengthens Serbia’s standing and highlights the importance of sustainable raw materials production, battery manufacturing, and EVs in driving the transition to a greener future.
