The future of the automotive industry in Italy hangs in the balance as the ambitious gigafactory project in Termoli faces significant challenges. Announced by Stellantis in March 2022, this joint venture with Mercedes and TotalEnergies was envisioned to produce 40 gigawatt-hours of batteries by 2026, but construction has been halted since June of this year.
According to John Elkann, the president of Stellantis, the company is currently evaluating its Termoli project based on market conditions and competitiveness. He explained that Stellantis holds a minority stake in the Automotive Cells Company (ACC), which oversees the gigafactory plans. Elkann articulated the challenging environment stating, "As you know, Stellantis is a minority shareholder of Acc, which is evaluating the realization of the gigafactory in Termoli based on the market and competitiveness factors." This development underscores a somber reality for Italian production, particularly concerning electric vehicles.
While Stellantis has adapted its production plans by shifting to automatic dual-clutch transmissions for hybrid vehicles, the general outlook remains precarious due to soaring energy prices in Europe. Elkann emphasized the stark disparity, noting that European energy costs are five times higher than those in China, a factor that heavily impacts automotive production costs. He further explained, "It’s important to remember that for a gigafactory, the energy consumption is ten times higher than that of a car production plant." This rough comparison highlights the uphill battle the Italian automotive sector faces as it attempts to remain competitive on a global scale.
The financial implications of these challenges are significant. As reported, producing a vehicle in Spain costs approximately 516 euros, while the cost in Italy skyrockets to 1,414 euros when accounting for both labor and energy. Such differences are concerning, particularly as Europe grapples with a race to secure its position in the electric vehicle market. As Elkann pointed out, “Today there are 263 gigafactories worldwide: 214 are located in China, but only 13 in Europe, of which 7 are Asian.” These numbers reflect a worrying trend for Europe's automotive future amidst a swift global transition towards electric vehicles.
The initiative in Termoli, while potentially transformative, is at the mercy of political action and strategic government support. Roberto Gravina, a regional councilor for the MoVimento 5 Stelle, raised concerns during a recent manifestation in Mirafiori. He stated, “We are here at Mirafiori because the automotive crisis affects all of Italy. The case of the Gigafactory in Termoli is concrete proof that the government and Europe are letting the sector sink without a true industrial strategy.” Gravina highlighted that while France invests billions to solidify its production framework, Italy appears stagnant—filled with vague promises that affect thousands of jobs.
Gravina called attention to the stark contrast between initiatives in different countries. He noted, "John Elkann has clearly stated that in France they are moving forward with the Douvrin gigafactory due to significant government investment. The difference with Italy is evident: in Termoli, the government has not invested anything and actually withdrew already allocated funds from the PNRR, which were never replaced." This reflects a broader pattern in Italian government actions that may lack the necessary vision and support for the automotive sector.
The MoVimento 5 Stelle's proposal for public investment in the Termoli gigafactory has met resistance, with Gravina reporting that a motion to support it was almost unanimously rejected by the center-right parties, revealing political divides that could further hinder Italy’s industrial recovery. He remarked, “This decision, made to please the government in Rome, shows little concern for local interests and workers’ futures. Today, we see the consequences: while other countries invest and protect their industrial sectors, Italy remains frozen.”
Funding for the automotive sector across Europe remains inadequate, with only 2.8 billion allocated compared to a staggering 800 billion for military expenditures. Gravina called upon policymakers to increase support, stating, “Why can’t we do the same for a strategic sector that involves millions of workers?” His plea highlights the critical need for robust public investments to ensure not only the survival of manufacturing jobs but also to aid in the ecological transition necessary for future sustainability.
As the discussions continue, public demonstrations have united delegates from the automotive supply chain, unions, political representatives from the MoVimento 5 Stelle, and other progressive European forces, who are gathering to stress the need for urgent interventions. In the coming days, conversations will shift to platforms like the Museo Nazionale dell’Automobile in Turin, where prominent figures including Giuseppe Conte and Yolanda Díaz will continue advocating for a resilient automotive sector.
Ultimately, the Termoli gigafactory represents a pivotal point in Italy’s automotive future. Elkann's assertion and Gravina’s passionate arguments underscore a shared belief in the necessity of decisive action regarding electric vehicle production and sustainable practices. The automotive industry’s reinvention is crucial, and without immediate governmental support, Italy risks falling further behind while waiting for a resurgence in conventional vehicle sales. At this crossroad, the nation's determination to invest in innovation will determine its industrial fate and the livelihoods of countless workers.
