The future of carmaking is being negotiated in two very different places. In Italy, Stellantis is preparing at least two affordable electric vehicles using a platform developed with Chinese partner Leapmotor. In Ontario, thousands of autoworkers are still looking for certainty after production plans at Stellantis’s Brampton plant unravelled.
The Italian vehicles, targeted for 2028, are part of an effort to put lower-cost EVs within reach of European households. The Canadian dispute is about something more immediate: whether a longstanding assembly plant will ever build cars again. These are separate business decisions, not evidence of a direct transfer of Canadian jobs to Italy, but together they illustrate how quickly the global auto industry is changing—and how unevenly workers are experiencing that change.
Two Small EVs Are Planned for an Italian Factory
On October 12, Stellantis technology chief Ned Curic outlined detailed plans for at least two new small electric cars at Pomigliano d’Arco, Italy. They will use an electric-vehicle platform being developed jointly with Leapmotor at Stellantis’s Mirafiori complex in Turin. Production is expected to begin in 2028, according to an earlier company announcement. This is a future manufacturing commitment, not a vehicle launch. Neither firm has published a complete set of production specifications for the two cars.
The project focuses on what Stellantis calls the European “E-Car”: a compact, relatively inexpensive vehicle intended for everyday journeys. A target price of roughly €15,000 would place affordability near the centre of its appeal. The important distinction is that Stellantis is not simply announcing imports of Chinese-built Leapmotor cars. Its plan combines joint technology development with assembly in Italy, using European brands and factories to compete in the small-car market.
The Revived Citroën 2CV Offers the First Clue
One of the planned cars is tied to Citroën’s revival of the 2CV, a name that still carries enormous affection in Europe. The original appeared at the Paris Motor Show in 1948, promising practical transportation without unnecessary expense. At the 2026 event, Citroën presented a modern electric 2 CV Concept measuring 3.76 metres long. Its playful styling and emphasis on low weight suggest a car built around daily needs, not unnecessary features.
Citroën says the concept previews a European-built model for 2028, targeting a starting price of €15,000. That figure is a goal, not a confirmed retail sticker. The concept’s features should not all be treated as final production equipment, either. Stellantis has not publicly identified the second Pomigliano-bound E-Car or disclosed its battery or range. For now, the 2CV gives consumers a glimpse of the direction, while much of the two-car lineup remains under development.
In Turin, Engineers Are Learning to Build Faster
The partnership is taking shape inside Mirafiori, where engineers from Stellantis and Leapmotor are working together on the small-car platform. Curic described an exchange of skills, not a one-way handover: Stellantis brings experience designing practical European city cars, while Leapmotor brings methods intended to shorten development cycles. Curic said the company has learned from its Chinese partner how to develop a new car in approximately two years. That speed matters when rivals can launch cars faster.
For people who eventually buy these cars, the shared architecture will be invisible. What they will notice is whether the finished vehicle feels reliable, affordable and suited to daily travel. Behind that experience are decisions about engineering complexity, parts procurement and the time needed to move from design to factory production. The two-year timeframe is an ambition for development speed, not a promise that every future Stellantis model will reach showrooms on that schedule.
The Leapmotor Alliance Is Bigger Than Two Cars
The Chinese partnership began earlier. In October 2023, Stellantis took an approximately 21% stake in Leapmotor and created Leapmotor International, a joint venture owned 51% by Stellantis and 49% by Leapmotor. The venture holds rights to sell and manufacture Leapmotor vehicles outside Greater China. By May 2026, Stellantis reported more than 850 European sales and service locations, alongside over 40,000 shipments across Europe during 2025.
Manufacturing plans extend beyond Italy. In May 2026, the partners outlined potential production of Leapmotor’s B10 SUV and a new Opel electric SUV at Zaragoza, Spain, while examining future Leapmotor production at a Madrid factory. These were proposals subject to further arrangements and approvals, not blanket guarantees. Taken together, the initiatives show a broader strategy: combine Chinese electric-vehicle know-how and supply networks with Stellantis brands, European plants and established dealerships, rather than having each side develop every car independently.
Europe’s Search for Affordable Electric Cars Is Accelerating
Stellantis is entering a growing electric market where price matters. The European Automobile Manufacturers’ Association reported that battery-electric models accounted for 21.7% of new EU car registrations through August 2026, compared with 15.8% in the same period of 2025. That creates an opportunity for households that do not need large SUVs. It also raises the stakes for companies trying to defend market share against both established rivals and newcomers from China.
A €15,000 EV could be attractive to a commuter navigating narrow streets, searching for parking or making short trips to work and school. But price alone cannot guarantee success. Buyers will judge real-world range, charging convenience, safety equipment and servicing costs, none of which has been fully disclosed for the production-bound Italian pair. The challenge for Stellantis is to meet its low-price ambition while producing cars that people want to own for years, not merely admire at a motor show.
Italy Sees New Models as a Way to Keep Plants Busy
In Italy, jobs are at stake. Pomigliano is already an important Stellantis manufacturing site, building the Fiat Panda and Alfa Romeo Tonale. Italian metalworkers’ union FIM-CISL reported 103,500 vehicles produced there in January through September 2026, including 92,000 Pandas and 11,500 Tonales. The union put the plant’s workforce at about 3,590. For employees, new models matter only if they generate sustained orders.
FIM-CISL expects Stellantis’s total Italian vehicle output to recover to roughly 450,000 units in 2026, after falling below 380,000 in 2025. Even so, the union says volumes remain below earlier levels and some facilities face serious pressure. The new E-Car programme could eventually help fill capacity at Pomigliano, but a planned 2028 start does not resolve short-term fluctuations. Its eventual benefit will depend on launch timing, customer demand and the number of cars the factory is actually assigned to build.
Brampton Workers Are Still Waiting for a Future
In Brampton, Ontario, the situation is far less reassuring. Stellantis idled its assembly plant in December 2023 to retool for the next-generation electric Jeep Compass. Work was paused in 2025, and the company later shifted future Compass production to Illinois. Unifor reported in August 2026 that more than 2,200 members remained on layoff. Stellantis then acknowledged a possible sale to Canadian defence-vehicle manufacturer Roshel. Stellantis calls the proposal sustainable; Unifor opposes losing auto assembly.
These decisions have already changed lives. In an April CityNews report, longtime Brampton worker Nathan Reilly described moving roughly 350 kilometres to take work at the Windsor plant, uprooting his family in the process. His experience captures what plant announcements cannot: a new job in another city may preserve an income while still disrupting school routines, caregiving and community ties. No completed sale or formal plant closure should be assumed from the memorandum of understanding alone.
Windsor Is Hiring, but the Labour Dispute Persists
The Canadian picture is not entirely one of retreat. Stellantis restored Windsor Assembly’s third shift in February 2026, adding roughly 1,700 jobs and reaching more than 6,000 employees. The factory builds the Dodge Charger lineup and Chrysler minivans, and it celebrated production of the refreshed 2027 Pacifica in May. Some Brampton employees transferred to Windsor, showing that Stellantis continues to invest in Canadian manufacturing even as the two Ontario plants follow different paths.
The labour dispute nevertheless extends beyond Brampton. Unifor opened bargaining for more than 9,000 Stellantis workers across Canada in September but reported an impasse, arguing that the company had linked broader economic terms to a Brampton closure agreement. On October 6, the union announced strike-authorization votes for October 17 and 18, with results planned for October 19. Authorization would not automatically produce a strike. Future product commitments for Windsor and Etobicoke also remain in question.
U.S. Tariffs Make Every Canadian Product Decision More Consequential
Canada’s auto industry depends heavily on American buyers. Over 90% of Canadian-built vehicles and 60% of locally made parts are exported to the United States. Since April 2025, Canadian-built vehicles have faced a U.S. tariff of 25% on their non-U.S. content, subject to the applicable trade-agreement treatment. Such tariffs also influence where automakers choose to build future vehicles and source parts.
The consequences extend well beyond automotive assembly lines. Ottawa says the auto sector supports more than 500,000 workers across Canada, including about 125,000 direct jobs. Parts factories, logistics businesses and nearby restaurants all depend to varying degrees on steady plant activity. The government has introduced measures intended to reward domestic production, including reducing Stellantis’s auto-tariff remission quota after its Brampton decision. Yet policy pressure alone cannot guarantee a replacement vehicle programme. Manufacturers still weigh demand, costs, tariffs and long-term prospects for each investment.
Canada’s Chinese EV Opening Creates Another Test
Canada has opened a new route for Chinese-made EVs. A trade arrangement implemented on March 1, 2026, permits an initial annual quota of 49,000 EVs originating in China at a 6.1% tariff, replacing the previous 100% surtax for eligible imports. Ottawa argues that managed access can make EVs more affordable and attract Chinese joint-venture investment. Unifor counters that more low-cost imports could undercut domestic assembly and Canadian parts suppliers. Both priorities matter.
The new Italian project does not settle that debate. The planned cars are European-built, with no confirmed Canadian launch or Ontario production. Nothing shows that a Canadian model was displaced. For workers, the meaningful benchmarks are more concrete: whether Brampton receives an automotive future, whether Windsor retains enough models and shifts, and whether new partnerships produce lasting Canadian jobs. Two affordable EVs may help Stellantis in Europe; Canada is still waiting for its own durable answers.
