European automotive giant Stellantis is set to invest more than €1 billion in electric vehicle production in France, according to an announcement by French President Emmanuel Macron.
The investment will be directed toward the company’s manufacturing site in Mulhouse, located in eastern France, where new generations of electric vehicles are expected to be produced starting from 2029.
The announcement was made during a meeting at the Élysée Palace with France’s “electrification team,” where Macron emphasized the importance of accelerating the country’s transition toward clean mobility. France is actively pursuing a long-term strategy to phase out fossil fuels and achieve carbon neutrality by 2050.
According to Macron, the Stellantis investment will exceed €1 billion and is intended to strengthen electric vehicle production capacity at the Mulhouse facility. However, the company has not yet officially confirmed the final details of the announcement, stating only that it is working on the future of its factories and will share updates once decisions are finalized.
The Mulhouse plant is one of five Stellantis production sites in France and currently employs around 4,000 workers. The facility has faced production challenges in recent years, with output reportedly remaining below pre-pandemic levels.
Industry reports indicate that annual vehicle production at the site has fallen significantly from around 200,000 units before COVID-19 to approximately 135,000 units currently, reflecting weaker demand and underutilization of capacity.
Union representatives have also noted periods of reduced activity and temporary furloughs due to declining sales and uncertainty over future model allocations. The potential EV investment is therefore seen as a significant opportunity to stabilize production and secure long-term employment at the site.
The development comes as Stellantis continues to expand its global electrification strategy. The company recently announced a broader €60 billion investment plan over five years, aimed at strengthening profitability and launching more than 60 new vehicle models by 2030.
France, meanwhile, is accelerating its transition toward electric mobility. The government aims for two-thirds of new cars sold in the country to be electric by 2030, alongside major reductions in fossil fuel dependency across the transport sector.
As part of this roadmap, France plans to produce 400,000 electric vehicles by 2027 and increase output to one million units annually by 2030, positioning the country as a key hub for Europe’s EV manufacturing ecosystem.
The proposed Stellantis investment is viewed as a strategic step toward aligning industrial policy with environmental targets, while also supporting domestic employment and technological advancement in the automotive sector.
