Do you remember when Volkswagen Group bought 7% of Xpeng Motors? France and Italy wants to do even more. In fact, Stellantis and Leapmotor have announced an agreement in which Stellantis intends to invest approximately 1.5 billion euros to acquire about 20% of Leapmotor, becoming a significant shareholder in the Chinese automotive company.
Furthermore, a joint venture named Leapmotor International will be established, in which Stellantis will hold a 51% stake, and Leapmotor will hold 49%. This joint venture will have exclusive rights for the export, sale, and production of Leapmotor products, such as electric cars, outside of China.
The new partnership between Stellantis and Leapmotor
The goal of this partnership is to increase Leapmotor sales in China, the world’s largest automotive market, and significantly expand Leapmotor vehicle sales in Europe initially, leveraging Stellantis’ global presence. Stellantis also intends to benefit from Leapmotor’s highly innovative and cost-efficient EV ecosystem to contribute to achieving its electrification goals established in the Dare Forward 2030 plan.
Leapmotor specializes in the mid to high-end market in China and has become the leading specialist manufacturer of New Energy Vehicles (NEVs) in the country, delivering approximately 111,000 NEVs in 2022. Over the next three years, Leapmotor plans to cover a wide range of market segments, based on a highly scalable technical architecture.
Stellantis will invest over 50 billion euros in the next 10 years in electrification and aims to achieve 100% of BEV (Battery Electric Vehicle) car sales in Europe by 2030, along with other ambitious goals. The transaction is subject to customary closing conditions and regulatory approvals.
