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Tavares: “With the war in Ukraine, energy has become the real emergency”

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Tavares: “With the war in Ukraine, energy has become the real emergency”

Carlos Tavares sheds light on the future of the Stellantis Group, on the occasion of the dynamic test of the new Alfa Romeo Tonale. In addition to the state of health of the various brands, the Portuguese manager expressed his thoughts on energy supply, sustainability and electrification to a direct question from il Sole 24 Ore. “The question mark today is what Europe will do as a global region” on the energy supply front and “I believe that Europe will accelerate electrification with less dependence on fossil fuels”. “In the light of the war in Ukraine, the energy question is back on the table, how to have clean and sustainable energy?”, Continued Tavares, explaining that “this – for example – reopens the debate on nuclear power”. The supply of clean energy, Tavares pointed out, ā€œis exactly the point we have been raising for 7 years, unfortunately the level of active listening by governments has not been very high. Now we ask ourselves: where will the energy come from? ” and for Tavares there will be Ā«a split in Europe, there are those who will increase renewable energy (for example in Portugal it is 61%). Other countries will go back to what they always thought, for example France to nuclear and the Eastern Bloc will have to decide whether to go back – be attached to fossils for longer – or accelerate on renewables. Or find new sources of gas Ā».

Clean energy

Another point comes to the attention to the search for sustainable energy. “As a Western society we should have started with (clean) energy before imposing electric vehicles.” Tavares pointed out. ā€œOver the past 7 years we have told the heads of state that we need to start with energy. A few years ago the level of trust in car manufacturers was not very high. We listened to the stakeholders but we weren’t listened to much. We have always said that we would produce electric cars, today they exist and can be bought “, continued Tavares, explaining that” there was another strategic point and that is energy “.

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War in Ukraine, what changes for the automotive sector

Ā«The impact of the war on Stellantis for now is marginal, there is a limited economic impact on the company. But it is evident that the impact of this war on the external environment, as on inflation, will be very significant but it will be so for everyone, not just for Stellantis Ā». This was stated by Carlos Tavares, CEO of Stellantis, to a direct question from Il Sole 24 Ore. Ā«We are in the same conditions as the competitors. The external environment will be damaged it is true but things are under control for Stellantis, ā€said Tavares.

Chip crisis

Ā«The supply of semiconductors is still problematic. It is improving with some suppliers, less so with others. The situation is similar to that of 2021, we will not see major improvements in 2022 Ā». This was stated by Carlos Tavares, CEO of Stellantis, in a meeting with the press. Ā«The difference (between 2021 and 2022, ed.) Is that the number of problematic supplier companies is decreasing, many suppliers have understood how to manage their supply chain and can help us. Others have not been able to do so, ā€continued Tavares, specifying thatā€œ we are harmed by a maximum of 3-4 suppliers. Others have learned how to monitor their supply chain. Things will start to improve in 2023. In my plan I do not foresee an improvement as early as 2022, I want to keep the forecasts sustainable Ā».

Future of brands

Carlos Tavares also shed light on the future of the brands. “They often tell me to cut a brand but I don’t think it’s ethical, a brand has a long history behind it, I love our brands and I want all my brands, including Italian ones, to have a chance”. So Carlos Tavares, CEO of Stellantis, in a meeting with the press. ā€œFor some years, Italian brands have not been fed to express their vision. I am trying to give a chance to all Italian brands, so that they can demonstrate their talent and have recurring profits that allow them to have a clear future “, he remarked, explaining that he had given” 10 years to the CEOs of each brand to plan products and strategies and now they have the funds available Ā». Among the new features is the definition of the design of future Lancia models.

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