Stellantis is hitting the brakes on production of the Fiat 500e, the electric city car that was once touted as a symbol of the brand’s electrified future. Poor demand for the pint-sized EV has led to repeated production halts at the Mirafiori plant in Turin, and now, Stellantis has announced yet another suspension of operations.
From December 2 to January 5, 2025, the 500e will once again cease rolling off the assembly line. This extended shutdown compounds an already difficult year for the Mirafiori facility, which has seen multiple interruptions due to sluggish EV sales.
Low Demand, Big Problems
The 500e isn’t the only victim of Stellantis’ EV struggles. Production of the Maserati GranTurismo and GranCabrio—luxury cars also manufactured at Mirafiori—is being halted for the same period. Stellantis attributes these pauses to “continuing uncertainty in sales of electric cars in several European markets” and low demand for Maserati models in key markets like the United States and China.
Why the Fiat 500e Isn’t Selling
The Fiat 500e’s lukewarm reception highlights broader challenges in the EV market. While the car features retro charm and urban-friendly dimensions, it has struggled to compete with a growing field of rivals offering better range, performance, and price points. Stellantis’ struggles aren’t unique but reflect a larger issue: European EV sales growth is slowing, and consumer hesitation remains high amid economic uncertainty and lagging infrastructure.
Fiat’s Backup Plan: Hybrid Power
In a surprising twist, Fiat is looking to the past to save its future. Stellantis has confirmed plans to reintroduce a hybrid-powered Fiat 500 in 2026, to be built at the Mirafiori plant. This move would reintroduce internal combustion technology to the 500 lineup after the current generation went fully electric. For regions where the 500 with a gas engine is still available—such as Eastern Europe and Latin America—demand has proven relatively stable, lending credibility to Fiat’s pivot.
A Broader Issue for Stellantis
The troubles at Mirafiori extend beyond Fiat. Maserati, another Stellantis brand, is struggling to sell its revamped GranTurismo and GranCabrio models, with CEO Carlos Tavares recently blaming “bad marketing” for lackluster performance.
With electric vehicles accounting for 97% of Mirafiori’s production, the factory’s fate hangs on the ability of Stellantis to turn around its EV strategy. The hybrid Fiat 500 is a band-aid solution, but the company must navigate an increasingly saturated EV market and fierce competition from established players like Tesla and aggressive newcomers from China.
The Road Ahead
Fiat’s attempt to blend nostalgia with electrification is losing steam, and Stellantis faces an uphill battle to reinvigorate sales. While reintroducing a hybrid Fiat 500 may help steady the ship, it also raises questions about Stellantis’ long-term EV ambitions. With Maserati also sputtering in critical markets, the clock is ticking for Stellantis to steer its iconic brands back on track—or risk being left in the rearview mirror.
