Stellantis Brings Back $17,500 Electric City Cars in 2028

For years, car companies have been abandoning the small, affordable vehicles that everyday families rely on, pushing them toward pricier SUVs and trucks instead. Now one major automaker is reversing course in a big way.

Stellantis, the company behind Fiat, Citroen, and Opel, just announced plans to launch a new line of affordable electric city cars starting in 2028. The compact EVs will start at around €15,000 (about $17,500), making them accessible to buyers who've been priced out of the electric vehicle market.

The announcement came with even better news for Italian workers. Production will happen at the Pomigliano d'Arco plant near Naples, Italy, where labor unions say the additional work could lead to full employment at a factory that's currently underused.

Stellantis CEO Antonio Filosa says demand for "small, stylish vehicles" built in Europe is sky-high but totally unmet. The new platform, called the E-Car, could spawn multiple models across different brands, giving buyers real choices in the budget EV space.

The timing couldn't be better. Like their American counterparts, European automakers have spent recent years chasing higher profits by focusing on expensive, large vehicles, leaving budget-conscious shoppers with fewer options. Meanwhile, car loans have stretched to seven years, pushing people into pricier monthly payments they can barely afford.

The Ripple Effect

This shift goes beyond helping individual buyers save money. The European Commission has recognized that simplified urban EVs, inspired by Japan's popular "kei cars," could transform city mobility and help lower-income families make the switch to electric driving.

By building these vehicles in Europe for European buyers, Stellantis is betting on local manufacturing at a time when many companies are moving production overseas. The factory investment means stable jobs for Italian workers and a boost to regional economies that have watched manufacturing decline for decades.

When affordable electric cars finally hit the roads in 2028, they'll prove that going green doesn't have to mean going broke.