Hello Stellantis. We Give Our Views on What Brands Survive and Who Will Die?

Meet Stellantis. The world’s newest and fourth-largest car manufacturer. It’s a merger between FCA and PSA and it consists of fourteen car brands at this moment in time. It’s quite a big lucrative deal that started out in early 2019 when FCA (Fiat Chrysler Automobiles) approached Renault as they were looking for a merger. Unfortunately, Renault declined because the French government did not support the merger.

FCA then went to PSA (Grouppe Peugeot) to propose the merger. They agreed to merge in December 2019 and it was confirmed on 4th January 2021 with the deal between shareholders completed on the 16th January 2021. On the 19th January 2021 Stellantis officially was listed on the New York Stock Exchange under the name of “STLA.”

Why is Stellantis so important? Well, it’s firstly the fourth-largest automaker in the world. Secondly, it consists of many large brands including Peugeot and Ram and thirdly it will allow European car companies to sell their cars in the USA a lot easier than it has been in the past.

Stellantis is a huge knock to the auto industry and it means that both brands can save around $4.2 billion yearly. It also means manufacturing things like electric cars will be a lot easier since Peugeot has an already tried and tested EV platform that can be used for other cars. It also means that both companies can share car components too throughout their cars which is great news. However, some car brands will die and today we are going to look into that.

Stellantis Lineup

It’s quite obvious that some car brands in the Stellantis range will die. Due to the rapidly changing economy caused by politics and Covid, this has meant that in some cases Stellantis needs to look at ways to prepare for the future and save money to re-invest elsewhere. At the moment the 14 brands consist of.

  • Fiat/Fiat Proffesional
  • Lancia
  • Dodge
  • Chrysler
  • Abarth
  • Alfa Romeo
  • RAM
  • Maserati
  • Jeep
  • Peugeot
  • DS Automobiles
  • Vauxhall
  • Opel
  • Citroen

We suspect that the first to die will be Lancia. They only make one car, the Ypilson which is a tiny little city car. Despite it being one of the best selling cars in Italy, it has never really sold well elsewhere. The current Ypilson is aging as it’s been around since 2011, almost a decade. That is far too long for a supermini and with no plans for a replacement or new models, Lancia is walking on a tightrope of death.

Next will unfortunately be Chrysler. It’s sad because Chrysler was once an automotive giant especially in North America. However, after many bad decisions and bad cars, the brand isn’t just what it used to be. They only make two cars nowadays the 300C which is getting way too old for the market and the Pacifica which is a minivan. They both don’t sell too well and there are no future models being planned. We reckon in the next five to ten years then, Chrysler will be a dead bit of meat and the chances of reviving it are slim since their reputation is so damaged.

Following Chrysler will most likely be DS automobiles. Citroen’s new luxury brand has been around since 2014 and they make a few cars nowadays including the DS7 SUV, the DS3 Crossback SUV, and the DS9 sedan. The DS brand is quite large in China as they have also made many China only cars since they are the main market for DS vehicles. The DS brand may come to the USA and that will be great news since their cars are quite unique. Unfortunately, their sales figures in Europe are quite low and it seems that the DS brand needs a lot more time and money invested into it to get the brand on par with the Germans and the Japanese. This is time and money Stellantis do not have so if DS does not perform within the next few years, then they will be killed off.

Next could be Alfa Romeo. They currently make two cars the Giulietta hatchback, the Giulia sedan, and the Stelvio SUV and they have plans to build a larger SUV and also a compact SUV as well as a new coupe. If Stellantis had formed five or so years ago then most likely Alfa Romeo would have been killed off a long time as they were making horrible cars back then. Alfa Romeo has just been re-launched in the USA so it will take some time for them to build up a large base. However, if there is no success in the next few years then the great Italian carmaker may too be axed.

Dodge could be a possibility. They have survived recent years by turning their ancient road cars into full-on muscle cars. Almost all of their lineups have Hellcat options which include a 6.2 liter supercharged Hemi V8 and at minimum 707 hp. Dodge is quite popular right now and with talks of a new Viper coming soon, things may get better. However, there are not many new models being planned for the next five years or so and with emission rules getting tighter, this brand may not be around for so much longer.

Fiat is a tricky one. They sell very well in South America and are rising in Europe. They may be pulled out of North America again if they don’t make anything that is appealing to a US market. Same with Abarth who is the tuning division of Fiat.

Vauxhall is only sold in the UK and their all re-badged Opel cars. They too could be heading to their death due to Brexit concerns. Their plant in Ellesmere Port near Liverpool may be on the threat of extinction if things get too expensive.

Opel will survive and thrive. They are re-entering the Russian market again and they could be coming to America. They have many new cars lined up including a hoard of EV’s. Opel is thriving on Peugeuot’s new platform so there is no way they are stopping.

Citroen is a tough one. They sell well in China and Africa but in Europe, they face heavy competition. Their cars do not offer the best value for money and they certainly wouldn’t work in North America. This brand may just shrink in some markets but expand in others.

Jeep is the hot cake of Stellantis. Their sales are increasing every year and it seems the whole lineup is going to get an overhaul this year. The most anticipated model is the Grand Wagoneer which will come out in 2022 and rival the likes of the Navigator and the Escalade.

Ram too is always quite a hot one. Their 1500 truck just became North America’s second best selling truck. They are also quite popular in South America too and they do have a chance in Europe since globally Ram has a great reputation. This is one Stellantis will be investing in heavily. Expect an electric truck from them in the next few years.

Peugeot will also be getting a lot of attention. They’re big in Europe, Africa, Oceania, and Asia. They also sell well in Mexico too and other Latin countries. Their next big challenge is North America and that may end in disaster since their current lineup is good but it’s a bit weird. They have huge competition from the likes of Hyundai who have been crushing the North American market recently. It will take a lot of time, money, and effort to get Peugeot’s name out there in North America. It may just be easier to rebadge Peugeot cars under a known brand in North America, such as Dodge.

 

Featured Image credits via : Top GearPhillipines.com

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