The European head of Stellantis, the mega-corp owner of Vauxhall, Peugeot, Fiat, Jeep and other notable car makers, has said there is no “natural demand” for electric cars, and that sales only come via government subsidies, or manufacturers “burning cash” by offering discounts.
Emanuele Cappellano told French media: ““Today, the choice is this: either I pay a fine [for selling too many petrol and diesel cars], or I lose money selling new [electric] vehicles”.
Warning that for European car firms “profit margins are shrinking and are on the verge of becoming negative”, Cappellano added that “trying to increase the market share of electric vehicles only generates losses for car manufacturers”.
The UK government mandated that 28% of all cars sold last year had to be electric, and the 23.4% market share EVs held in 2025 was both behind that target, and only achieved by the Treasury forgoing vast tax receipts by way of reduced company and business-car taxes.
And while retail buyers can receive up to £3,750 off the price of an EV via a government grant, contrary messaging such as the forthcoming EV pay-per-mile tax mean the vast majority of purchases are set to remain with corporate buyers, who have for years received significantly greater incentives than private motorists.
Despite European Union leaders indicating there could be a relaxation of the continent’s electric rules, the British government remains resolutely wedded to the idea of EV-only new-car showrooms, which are due to arrive in between 2030 and 2035.
