Stellantis asks suppliers for a discount, but the supply chain doesn’t agree

Stellantis’ request to obtain a discount from its suppliers has created some discontent among companies. Federico Visentin, president of Federmeccanica spoke about it on Sky TG24 Business. WATCH THE VIDEO

The efforts implemented by Stellantis to reduce its production costs are giving rise to some grumbling. In recent days, the automotive multinational has requested a 7% discount on orders from its component suppliers. “It is clear that Stellantis is suffering like all of us from the increase in costs linked to energy and raw materials” – he explains to Sky TG24 Business Federico Visentin, president of Federmeccanica, which represents a large part of the automotive supply chain – “but something went wrong in this mechanism”. The majority of Federmeccanica’s companies find themselves squeezed between “the big players in the” automotive sector – continues Visentin – and the steel producers”, which does not give companies the opportunity to pass on the increase in production costs to customers.

In the episode of Sky TG24 Business of 14 February 2023 (see it again here), there is also space for the analysis of gas supplies with Christian SignorettoPresident of Proxigas.