According to a recent interview with Xinhua, a Dutch auto expert stated that the collaboration between Stellantis, a leading global automaker, and Chinese new energy vehicles (NEV) frontrunner Leapmotor is a “win-win” partnership. Joeri van Dam, an Electric Vehicle (EV) expert and co-writer of the Dutch EV Yearbook, explained that it is a strategic move for Stellantis to get closer to the Chinese market and benefit from Leapmotor’s technological advantage and knowledge to enhance the level and variety of their electric cars.
Van Dam highlighted that the Chinese car market is ahead of Europe in terms of electrical technology. He also emphasized that for Leapmotor, this collaboration enables a smooth entrance into Europe, allowing them to leverage Stellantis’ network and points of sales instead of starting from scratch, which saves both time and money.
Van Dam expressed his view that the partnership between Stellantis and Leapmotor is a logical deal. Stellantis, based in Amsterdam, recently announced a plan to invest approximately 1.5 billion euros (1.6 billion U.S. dollars) to acquire a 20% stake in Leapmotor, as well as establish a global strategic partnership to form an international joint venture.
China holds the title of the world’s biggest manufacturer of electric cars. Leapmotor delivered around 111,000 NEV units in 2022, making it one of the highest rates among China’s NEV automakers, while Stellantis shipped over 6 million vehicles worldwide in the same year, based on official statistics.
It is worth noting that this collaboration is not the first of its kind between a Chinese automaker and an international partner. For instance, Volvo, a Swedish giant, has Geely, a Chinese company, as its parent company. Furthermore, Germany’s leading carmaker, the Volkswagen Group, has also become one of the most successful international partners in China’s automobile industry.
Van Dam anticipates that more cooperations will follow, especially as a second wave of Chinese car brands, including Leapmotor, enters the market. Notable Chinese brands like BYD, SAIC, and Lynk&Co, as well as Volvo owned by Geely, have already established their presence in the European market.
Van Dam acknowledged China’s role as a frontrunner in the electric car field. He mentioned that in the Netherlands, electric cars constitute 20-30% of new car sales, whereas in China, the figure stands at 60%, considering the much larger market size compared to the Netherlands.
In conclusion, the collaboration between Stellantis and Leapmotor offers mutual benefits, as Stellantis gains access to the Chinese market and benefits from Leapmotor’s expertise, while Leapmotor gains a smooth entry into Europe through Stellantis’ network and points of sales.
(1 euro = 1.07 U.S. dollars)
