Stellantis will invest around €1.5 billion to acquire approximately 20% of Leapmotor, becoming a significant shareholder and reinforcing its position in the world’s largest automotive market.
The agreement includes the creation of Leapmotor International, a joint venture led by Stellantis that has exclusive rights for the export, sale, and manufacture of Leapmotor products outside of ‘Greater China’.
The partnership aims to further boost Leapmotor’s sales in China, the largest market in the world, while leveraging Stellantis’ global commercial presence to significantly accelerate Leapmotor’s sales in other regions, starting with Europe.
In this way, Stellantis intends to take advantage of Leapmotor’s highly innovative and profitable electric vehicle ecosystem in China to help fulfill the key electrification objectives of Dare Forward 2030, with the possibility of further exploring mutually beneficial synergies. The joint venture expects to start exports in the second half of 2024.
The two companies believe that Leapmotor’s offering of electric vehicle products complements Stellantis’ current technology and brand portfolio, bringing more affordable mobility solutions to customers worldwide. Stellantis will have two seats on the Leapmotor Board of Directors and will appoint the CEO of the Leapmotor International joint venture.
“As the consolidation among emerging electric vehicle companies in China unfolds, it becomes increasingly evident that a set of efficient and agile new-generation electric vehicle companies, such as Leapmotor, will dominate the key segments in China,” emphasized Carlos Tavares, CEO of Stellantis. “Through this strategic investment, we can fill a void in our business model and benefit from Leapmotor’s competitiveness, both in China and beyond,” concluded Carlos Tavares.
It is worth noting that Stellantis will invest over €50 billion in the next decade in electrification to meet the objectives of the Dare Forward 2030 strategic plan and achieve 100% of passenger car sales in Europe and 50% of passenger car and light commercial vehicle sales in the United States in battery electric vehicles by 2030.
To achieve these sales objectives, the company is securing approximately 400 GWh of battery capacity, including the support of six battery factories in North America and Europe.
