The Electric Vehicle as a Scapegoat?
In the automotive industry’s turbulent shift, the electric vehicle (EV) often bears the brunt of criticism. Following the announcement of massive exceptional charges totaling 22 billion euros, Stellantis management appeared to frame the electric transition as the primary culprit. This rationale raises questions. While the shift to electrification undoubtedly presents a monumental industrial and financial challenge for all manufacturers, citing it as the sole explanation for deep financial woes may be an oversimplification.
Beyond the Battery: Structural Challenges
Attributing significant losses solely to EV investments can divert attention from other potential structural weaknesses. For a conglomerate like Stellantis, formed from a major merger, other persistent issues could include complexities in integrating vast and diverse brands, legacy costs from older technologies, or inefficiencies in global supply chains that predate the electric push. The high costs of EV development are a universal pressure, not a unique setback, suggesting that performance gaps relative to competitors might stem from elsewhere.
A Strategic Narrative
Positioning the EV as the main obstacle serves a strategic purpose. It externalizes a problem, framing financial results as an inevitable cost of a global transition rather than a reflection of specific corporate strategy or execution. This narrative can manage short-term stakeholder expectations, but it risks neglecting necessary internal reforms. True resilience requires a balanced approach that addresses both the future of electrification and the foundational health of the existing business model.
The Path Forward
The industry’s evolution is non-negotiable. Success will depend not on blaming the transition but on navigating it with operational excellence. Companies must streamline costs, innovate in manufacturing, and develop compelling electric products efficiently. For Stellantis and its peers, the coming years will test their ability to adapt their core structures, proving that the electric vehicle is a challenge to be mastered, not merely a convenient scapegoat for deeper ailments.