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Stellantis reorganises its financial services in China for an ambitious recovery

A Citroën C5 X in China in red color

As part of its Dare Forward 2030 strategic plan, Stellantis is focusing on revitalising the Chinese market. Faced with fierce competition from local manufacturers, the Franco-Italian-American group is refining its strategy by restructuring its financial services to strengthen its presence and efficiency in this crucial market.

Financial services reorganisation: an asset-light strategy

Stellantis has announced an important step in the reorganisation of its financial services in China. The Group has signed a share transfer agreement between PSA Finance Nederland (PFN) and Dongfeng, its long-term partner. This agreement provides for the transfer to Dongfeng of Stellantis' and DPCA's (Dongfeng Peugeot Citroën Automobiles) stakes in the DPCAFC automotive finance company, subject to regulatory approval. This operation is part of the "asset-light" business model of the Dare Forward 2030 plan, which aims to optimise resources and increase the company's operational efficiency.

Carlos Tavares, CEO of Stellantis, underlined the importance of this approach: "As we continue our momentum for growth and profitability in China, we needed to completely rethink our financial services offering in the country, as we have done in other key markets. This move will strongly support our recovery plan in the country, while allowing us to offer a smoother experience to our customers."

Towards a 100% Stellantis finance company

With this transaction, Stellantis intends to centralise its financial services in China within a wholly owned automotive finance company. The sale of Stellantis' and DPCA's shares in the DPCAFC joint venture to Dongfeng will simplify and strengthen the Group's financial structure in China. This new organisation will support DPCA's new business model and facilitate the establishment of the Group's new brands in this market.

This reorganisation is expected to be finalised in the second half of the year, after receiving the necessary approvals from the relevant antitrust and financial regulators. This approach is an integral part of the Dare Forward 2030 plan, which aims to position Stellantis as a leader in the global automotive industry, with a strengthened presence in China.

A decisive step in the relaunch of Stellantis in China

The Chinese market, the largest in the world, represents a major challenge for Stellantis. By restructuring its financial services and adopting an "asset-light" strategy, the company is giving itself the means to relaunch its activities in this country. This initiative will not only streamline financial operations, but also provide a better customer experience, which is essential to win market share in a highly competitive environment.

With this reorganisation, Stellantis is demonstrating its desire to adapt to the specificities of the Chinese market and to position itself as a major player in sustainable mobility on a global scale. This strategic approach demonstrates the Group's commitment to innovation and adaptation in order to ensure its future growth and profitability.

This reorganisation of Stellantis' financial services in China is an important step in the company's global strategy. By adapting to the challenges of the Chinese market, Stellantis is paving the way for sustainable growth and increased profitability, while delivering an enhanced customer experience.

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