Exclusive: Stellantis resurrects diesel cars across Europe amid EV retreat

Core Insights - Stellantis is reintroducing diesel versions of at least seven models in Europe as it retreats from electric vehicles due to disappointing EV sales and changing emissions regulations [1] - The company aims to leverage diesel cars as a competitive advantage against Chinese EV rivals, which do not compete in the diesel segment [1] - Stellantis has reported a significant financial charge of €22.2 billion ($26.4 billion) as it scales back its EV ambitions, impacting its stock performance [1] Group 1: Company Strategy - Stellantis has decided to keep diesel engines in its product portfolio and increase its powertrain offerings in response to customer demand [1] - The company is bringing back popular combustion-engine models, including the Jeep Cherokee and Fiat 500 petrol hybrid, to regain market share in the U.S. [1] - Diesel models being reintroduced include the Opel Astra, Opel Combo van, Peugeot Rifter, and Citroën Berlingo, among others [1] Group 2: Market Context - Diesel vehicles accounted for 50% of new car sales in Europe in 2015 but have declined to just 7.7% by 2025, while fully electric cars made up 19.5% [1] - The shift towards diesel comes as Stellantis faces a 3.9% decline in European sales in 2025 and a 7.3% decline in 2024 [1] - The total number of new diesel models in the UK has decreased from 167 in 2020 to 57 in 2025, indicating a broader market trend [1]