The Italian metalworkers’ union UILM said in a statement on Saturday that Stellantis-supported Automotive Cells Company (ACC) informed unions that it would no longer proceed with the plans to build gigafactories in both Italy and Germany.
ACC, a battery joint venture with Stellantis as the majority stakeholder, was to have three gigafactories in Europe in France, Germany, and Italy.
The UILM stated that ACC management had informed them that the planned projects for Termoli, in Italy, and Kaiserslautern, in Germany, had been “definitively shelved.”
In an alternative announcement on Saturday, ACC said the Berlin and Milan projects had been in standby since May 2024 and that there was little likelihood that the “prerequisites” to restart them were unlikely to be met. It said “different scenarios” were being considered.
Stellantis replied that it was paying close attention to the situation and that it was “fully mobilised” to evaluate the industrial and social consequences.
Stellantis shares dropped 25.2 percent on Friday, their biggest single-day drop on record, after the Franco-Italian company booked charges of around 22.2 billion euros ($26.5 billion) as it scaled down electric-vehicle development plans.
ACC, which is owned by Stellantis, Mercedes-Benz, and TotalEnergies, has begun manufacturing at a factory in France, but halted the Italian and German projects because of poor demand for electric cars.
Therefore, UILM reported that Stellantis had already announced that it would produce gearboxes and engines at Termoli, but it had not given operational specifications.
UILM said, “The failure to build the ACC gigafactory must in fact be offset by clear and coherent industrial decisions.” Stellantis indicated that it was still dedicated to investing in the production of gearboxes and engines at Termoli.
It reported, “As agreed a year ago, these measures are intended to support Made in Italy and to secure the plant’s future. Current ACC employees will be offered continued employment within Stellantis.”
