Stellantis to Assemble Dongfeng Models at Rennes Plant to Dodge EU Tariffs

Stellantis and Dongfeng Motor Group have signed a strategic cooperation agreement to jointly produce Peugeot and Jeep vehicles in China, extending their partnership of 34 years. Additionally, Stellantis has agreed to assemble at least one Dongfeng model at its Rennes plant in France, helping Dongfeng circumvent EU tariffs on Chinese-made vehicles. Dongfeng executives visited the Rennes facility twice—in January and April 2024. The plant currently produces the Citroën C5 Aircross and employs approximately 1,300 workers. Union representatives state it has the capacity to produce at least an additional 40,000 vehicles annually without requiring significant new investment. This move also helps alleviate Stellantis’s underutilized production capacity in Europe. Previously, Stellantis partnered with Leapmotor to produce Leapmotor models at its Spanish plant, and BYD has confirmed plans to acquire idle factories from Stellantis and other European automakers.