Car giant Stellantis plans €5.6bn investment in South America

Multinational carmaker Stellantis is planning a multibillion-dollar investment in South America.

The firm, which has its corporate headquarters in the Netherlands, announced on Thursday that it would invest €5.6 billion ($6.1 billion) in the region from 2025 to 2030.

"The planned investments will support the launch of more than 40 new products during the period as well as the development of new Bio-Hybrid technologies, innovative decarbonization technologies across the automotive supply chain, and strategic new business opportunities," the company said.

Bio-hybrid technologies combine electrification with hybrid engines fuelled by bio-fuels like ethanol at three different levels.

The Stellantis facility in the Brazilian town of Betim serves as the company's global centre of expertise for bio-hybrid technology.

The bio-hybrid technology is supported by three hybrid powertrains that will be gradually produced and introduced to the market.

These new technologies include bio-hybrid, bio-hybrid electrified dual-clutch transmissions, bio-hybrid plug-in, and BEV, which is 100% electric. The new hybrid technologies are expected to be available by the end of 2024.

Stellantis holds significant market shares in Brazil (31.4%) and South America (23.5%).

As part of its Dare Forward 2030 strategic plan, the company is investing over €50 billion globally in electrification over the next decade to achieve carbon neutrality by 2038.