Stellantis-Dongfeng joint venture to export Chinese-made Jeeps

Stellantis will expand its joint venture partnership with Chinese automaker Dongfeng to produce four new vehicles, including Jeeps destined for global export markets. According to automotive publication Drive on Sunday (24 May), the four ‘new energy’ vehicles to be produced by Dongfeng for Stellantis consist of two Jeep off-road models and two Peugeot models. The arrangement expands the existing Dongfeng Peugeot Citroën Automobile Co., Ltd joint venture. Currently, the partnership produces Peugeot and Citroën vehicles for the Chinese market and serves as the production base for the Citroën C5 X sold in Europe. Stellantis stated that the two Peugeot models are ‘aimed at the Chinese market and global exports’, while the Jeep models are ‘for the global market’ without specifying China as a target. The partnership appears to give Dongfeng majority ownership, with a total combined investment of €1 billion (approximately Rp20.54 trillion) for the four-vehicle programme. Stellantis contributed €130 million (around Rp2.67 trillion). Jeep’s history in China began in 1984 when the brand entered the market through a joint venture with Beijing Automotive Group (BAIC), the first Western brand partnership with a Chinese company. Stellantis currently holds a 20% stake in Chinese brand Leapmotor and operates Leapmotor International, a joint venture owned 51% by Leapmotor and 49% by Stellantis, to supply markets outside China. Dongfeng also has joint ventures with Honda and Nissan. In a statement regarding the partnership, Stellantis CEO Antonio Filosa hinted at further collaboration, stating, ‘We look forward to this project and hope to work together more in the future.’ Stellantis and Dongfeng have signed a memorandum of understanding to explore additional cooperation, though details have not been announced.