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Stellantis Expands Leapmotor Pact, Weighs Madrid Plant Transfer for Europe EV Production

The move signals a shift toward Chinese EV technology to meet EU rules at lower cost.

Overview

  • Stellantis said it will open its Zaragoza, Spain, plant to Leapmotor models and is studying a transfer of its Villaverde factory near Madrid to their joint venture.
  • Leapmotor may start B10 production in Zaragoza as early as 2026, and a co-developed Opel compact SUV is targeted for around 2028 using Leapmotor drivetrain and battery tech with Opel leading design and tuning.
  • Opel’s CEO said mixed teams are already developing the SUV on an accelerated timeline, reflecting how Chinese firms can bring new models to market faster.
  • Stellantis holds 51% of the Leapmotor venture and says local production and joint purchasing will cut costs and help satisfy EU local-content rules and tariffs on China-made EVs.
  • Unions and industry experts warn the approach could shift engineering jobs and weaken Europe’s auto base, even as Chinese brands reach 9% of total sales and 14% of EV sales with many European plants underused.