US-listed shares in Stellantis NV fell sharply on Tuesday
2022.07.05 20:56
US-listed shares in Stellantis NV (NYSE:STLA) fell sharply on Tuesday, dragged lower by a union report warning that a semiconductor supply shortage will weigh on the carmaker’s annual production in Italy.
The Italian Federation of Metalworkers (FIOM) said in a statement that it now expects Stellantis’ output during the year to slide by as much as 220,000 vehicles. The union blamed the projected decrease on a tight supply of raw materials and chips, along with geopolitical tensions stemming from the war in Ukraine.
The FIOM added that production will fall by 13.7% in the first half of 2022, with output of commercial vehicles, in particular, slumping by more than a third.
Stellantis’ plant in Melfi – which accounts for about 38% of all cars produced by the group in Italy – will see an especially sharp fall in first-half production, according to the FIOM. Volumes at the site, during the period, are seen dipping by 17% compared to the previous year.
The carmaker’s factory in Sevel will also post a first-half production decline of more than 37%.
In early US trading, shares in Stellantis – the parent of American car brand Chrysler – dropped by almost 7%. Milan-listed shares in the company (Stellantis NV (BIT:STLA)) also fell by a little under 3% on Tuesday.
Stellantis is set to unveil its first-half results on July 28.
