Stellenbosch is weighing arrangements with Chinese automakers that could bring capital to its weak European operations as it prioritizes spending in the US.
Cited by source Bloomberg said Stelantis executives had met with Xiaomi and XPeng to discuss ways to revamp the group’s European business.
The talks include scenarios in which Chinese companies take stakes in assets such as Maserati or other units, while also gaining access to production capacity in Europe.
“As part of its normal business, Stellantis discusses various topics with industry players worldwide, always with the ultimate goal of providing customers with better mobility options. The company does not comment on speculation,” the automaker said in a statement.
A representative for Xpeng declined to comment. A request for comment from Xiaomi did not immediately elicit a response.
The discussions highlight the different perspectives between Stellantis’ European and US operations.
In North America, the group is investing about $13 billion to update its vehicle range, while China’s potential involvement in U.S. operations has been hampered by restrictions on Chinese technology sold in cars.
Some of the sources said the restructuring could eventually increase the separation between Stellantis’ European and US businesses, although they stressed that a full split was not the current focus.
“Stillantis says in the most categorical terms that there is no truth in the suggestion that it is considering a plan to split the company.” “Any claim to the contrary is pure invention.”
The talks, which have been going on for several months, have also covered the idea of taking a stake in the European firm Stellantis, but the source warned that there was no certainty that any agreement would be reached.
Brands including Fiat, Opel and Peugeot are dealing with excess capacity, fierce competition and expensive requirements associated with electrification.
For Chinese automakers, such deals could provide a strong lead into Europe at a time when a price war in China is intensifying pressure at home.
Stellantis also has more room to work with Chinese groups in Europe, as the United States effectively blocks Chinese technology in connected cars from 2027 and political resistance could complicate deals.
The discussions come as Stellantis looks to continue operations under CEO Antonio Filosa, who was fired last year after cost-cutting measures affected quality and demand.
They follow last month’s announcement of 22.2bn euros ($25.46bn) in charges and write-downs largely tied to scaling back its EV plans, including scrapped battery investments and future models.
