Stellantis Halts Production In France And Italy Due To Weak Demand

(RTTNews) - Stellantis (STLA) has temporarily halted production at its Poissy plant in France and Pomigliano in Italy, due to weak demand.

The closure is set to begin at the end of September and may extend for up to three weeks.

The company's Pomigliano facility near Naples will stop production of the Fiat Panda from September 29 to October 6 and the Alfa Romeo Tonale until October 10. This will put 3,800 workers on furlough. Additionally, the Poissy plant suspend production from October 13 to October 31, affecting about 2,000 employees. Poissy makes the DS3 and Opel Mokka small SUVs.

Meanwhile, car registrations in Europe were broadly flat in the January-July period versus a year earlier at around 7.9 million units, while registration of Stellantis brands fell 8% to 1.19 million units in the same period.

Stellantis said orders for the Alfa Romeo Tonale were also impacted by tariffs in the U.S., a significant market for the brand.