Stellantis Nears Deal with China's Leapmotor to Co-Develop Opel Electric SUV

Stellantis is reportedly deep into negotiations with Chinese automaker Leapmotor to roll out a new Opel electric SUV. This vehicle would ride on Leapmotor's technology and be built at Stellantis' facility in Zaragoza, Spain.

The partnership comes as Stellantis recalibrates its EV ambitions, especially after recording a $25 billion writedown earlier this year linked to trimming its electric vehicle expansion. Shifting focus toward petrol-electric hybrids, the French-Italian group still sees value in electric offerings, particularly in Europe's cutthroat market.

The deal, if it closes, aims to fast-track development while taming costs. Stellantis would lean on Leapmotor for key tech including electronic components, while Opel handles the styling and design of the exterior. A hefty chunk of R&D work is expected to happen in China.

Stellantis' CEO, Antonio Filosa, who stepped into the role last June, plans to unveil a new strategic roadmap come May 21. This Opel EV could be a piece of that puzzle, targeting a ramp-up to 50,000 vehicles annually once production kicks off in 2028.

This venture follows Stellantis' acquisition of roughly a 20% stake in Leapmotor back in 2023. They already manage a joint entity, Leapmotor International, focusing on sales and manufacturing outside China. The Opel EV will share its platform with Leapmotor's B10 compact SUV, which is scheduled to roll out in Europe from the Zaragoza plant later this year.

Beyond this, Stellantis seems keen to exploit Leapmotor's technology more broadly. Early talks are underway about bringing the next-generation Opel Mokka B SUV and potentially an Alfa Romeo model onto the same Leapmotor architecture, both to be produced at the Zaragoza facility, boosting utilization.

Opel accounted for about 21% of Stellantis' 2025 European sales, with Germany leading the charge. Given the competitive pressure from China's BYD and others, leveraging Leapmotor's resources could be a savvy move to stay in the mix.

Sources say that although Leapmotor acknowledges talks with Stellantis about supplying components, it publicly downplays platform-level collaboration. Still, insiders suggest an agreement on the Opel SUV - codenamed O3U - might land as early as this month.

The broader picture includes discussions about smaller A-segment cars developed on Leapmotor's technology, which would require different production lines than Zaragoza currently operates.

The Renault-Nissan-Mitsubishi alliance and Volkswagen have been making waves with their electric lineups. Stellantis' word from the grapevine hints it's not out of the game yet, just taking a different path to electric mobility.