MILAN (Reuters) -The Stellantis-backed ACC joint venture is close to “definitely giving up” plans for a gigafactory plant in eastern Italy, newspaper MF reported on Friday.
A decision for the plant in Termoli, which was earmarked by ACC as one of three European electric vehicle battery-making hubs, is expected by the end of the year or in early 2026, MF added.
The project is “not sustainable for technical, strategic and financial difficulties”, the Italian paper reported, citing sources.
ACC is still assessing its investment plans for Italy – as well as those in Germany – with the goal of taking a decision at the end of this year in the best case, a spokesman said in a statement.
Mercedes and TotalEnergies are also shareholders in the joint venture.
The Termoli plant, which makes petrol engines for Stellantis, was one of three ACC initially planned for Europe.
A plant in France has already started operations while another in Germany is also on hold due to sluggish market demand for electric vehicles.
While awaiting completion of its investment assessment, the spokesman said “ACC is focused on driving its manufacturing efficiency and competitiveness in its gigafactory in Billy-Berclau, in France.”
One year after production began, approximately 10,000 vehicles are already equipped with ACC batteries, he added.
(Reporting by Sara Rossi and Giulio Piovaccari; Editing by Giulia Segreti and Joe Bavier)
