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Stellantis lays off salaried workers, cites uncertainty in EV transition

DETROIT — Jeep maker Stellantis is laying off about 400 white-collar workers in the U.S. as it deals with the transition from combustion engines to electric vehicles. The company formed in the 2021 merger between PSA Peugeot and Fiat Chrysler said the workers are mainly in engineering, technology and software at the headquarters and technical center in Auburn Hills, Michigan, north of Detroit. Affected workers were notified starting Friday morning. “As the auto industry continues to face unprecedented uncertainties and heightened competitive pressures around the world, Stellantis continues to make the appropriate structural decisions across the enterprise to improve efficiency and optimize our cost structure,” the company said in a prepared statement Friday. The cuts, effective March 31, amount to about 2% of Stellantis' U.S. workforce in engineering, technology and software, the statement said. Workers will get a separation package and transition help, the company said. “While we understand this is difficult news, these actions will better align resources while preserving the critical skills needed to protect our competitive advantage as we remain laser focused on implementing our EV product offensive,” the statement said. CEO Carlos Tavares repeatedly has said that electric vehicles cost 40% more to make than those that run on gasoline, and that the company will have to cut costs to make EVs affordable for the middle class. He has said the company is continually looking for ways to be more efficient. U.S. electric vehicle sales grew 47% last year to a record 1.19 million as EV market share rose from 5.8% in 2022 to 7.6%. But sales growth slowed toward the end of the year. In December, they rose 34%. Stellantis plans to launch 18 new electric vehicles this year, eight of those in North America, increasing its global EV offerings by 60%. But Tavares told reporters during earnings calls last month that “the job is not done” until prices on electric vehicles come down to the level of combustion engines — something that Chinese manufacturers are already able to achieve through lower labor costs. “The Chinese offensive is possibly the biggest risk that companies like Tesla and ourselves are facing right now,Â’Â’ Tavares told reporters. “We have to work very, very hard to make sure that we bring out consumers better offerings than the Chinese.

Stellantis expects to hit emissions target without Tesla's help

Franco-Italian carmaker Stellantis expects to achieve its European carbon dioxide (CO2) emissions targets this year without environmental credits bought from Tesla, its CEO said in an interview published on Tuesday. Stellantis was formed through the merger of France's PSA and Italy's FCA, which spent about 2 billion euros ($2.40 billion) to buy European and U.S. CO2 credits from electric vehicle maker Tesla over the 2019-2021 period. "With the electrical technology that PSA brought to Stellantis, we will autonomously meet carbon dioxide emission regulations as early as this year," Stellantis boss Carlos Tavares said in the interview with French weekly Le Point. "Thus, we will not need to call on European CO2 credits and FCA will no longer have to pool with Tesla or anyone." California-based Tesla earns credits for exceeding emissions and fuel economy standards and sells them to other automakers that fall short. European regulations require all car manufacturers to reduce CO2 emissions for private vehicles to an average of 95 grams per kilometer this year. A Stellantis spokesman said the company is in discussions with Tesla about the financial implications of the decision to stop the pooling agreement. "As a result of the combination of Groupe PSA and FCA, Stellantis will be in a position to achieve CO2 targets in Europe for 2021 without open passenger car pooling arrangements with other automakers," he added. Tesla's sales of environmental credits to rival automakers helped it to announce slightly better than expected first-quarter revenue this week. The next tightening of European regulations will soon be the subject of proposals from the European Commission. The 2030 target could be lowered to less than 43 grams/km. Related Video: Government/Legal Green Alfa Romeo Chrysler Dodge Fiat Jeep Maserati RAM Tesla Citroen Peugeot Emissions Stellantis

That thing got a Hemi? Mopar engine kits make it easier to say yes

Thanks to a new kit from Mopar, classic car owners will have an easier time dropping Hemis into their muscle cars. The kit works with Mopar's 345 and 392 Hemi engines (5.7 and 6.4 liters respectively) and with cars built before 1975. The kit will run $1,795 and has everything needed to get one of the above engines running. The parts include a power distribution system, engine computer, engine and chassis wiring harnesses, O2 and intake air temperature sensors, ground wiring and a gas pedal. The kit is also designed to work with a manual transmission, but Mopar says a transmission such as the Torqueflite 727 and 904 can be made to work with the system. As for examples of the kit in action, take a look at the Jeep CJ66 and Dodge Challenger Shakedown that Mopar revealed this week at the SEMA show. Mopar also offers a few other parts to help complete the project, including various oil pans to clear subframes, a set of headers, and accessory drives for power steering and air conditioning. All of these parts are extra cost though. You'll also need an engine, and the 345 starts at $6,070, and the 392 runs $9,335. However, if you happen to already have one from 2014 or newer, that will work, too. Muscle car fans are getting more choices for their engine conversions. Chevrolet Performance already sells crate engines with "Connect and Cruise" kits to get its engines working in classic cars. The General also offers it with more engines. However, for people who want to keep a Mopar engine in their classic Chrysler, Dodge, Plymouth, or Jeep, this is a cool new option. Related Video: Featured Gallery Mopar Hemi V8 Engine Swap Kit Image Credit: FCA Aftermarket SEMA Show Chrysler Dodge Performance Classics FCA engine swap SEMA 2016