Netherlands-based automotive giant Stellantis has confirmed that it is working on a new affordable battery-electric vehicle (BEV) that will vie with Renault and Chinese automakers. Stellantis explained that the new EV will be a no-frills model, which will be inspired by the Fiat Panda and carry a price tag of less than 25,000 euros (approx. US$27,500).

In a recent interview, Fiat brand Chief Executive Officer (CEO) Olivier Francois also revealed that the new Fiat entry-level electric car, which will take on Renault's Dacia Spring, will officially be unveiled in July 2024. It will likely take inspiration from the Centoventi Concept that was introduced in the year of 2019. The planned affordable BEV in question will be the Franco-Italo-American automobile conglomerate’s second affordable BEV.

Earlier this year, Fiat also announced that it would reintroduce the electric 500 in the United States sometime in the first quarter (Q1) of 2024. It is may be noted here that U.S. is the conglomerate’s largest as well as most profitable market.

Previously, Stellantis revealed its plans to start selling an all-electric Citroen city car in 2024. The battery-powered small city car from the French brand will be friendly to the consumers’ pockets and will deliver a range of more than 186 miles (roughly 300 km) on a single charge.

To be built in Slovakia, that electric model will be known as the Citroën e-C3. Keeping costs low, will enable Stallentis to better compete with the Dacia Spring. Renault is producing the Spring EV in China for its low-cost Dacia brand. The Citroën e-C3 will likely also vie with the forthcoming Renault 5, which will be built in France.

Since Stellantis, which came into existence in 2021 on the basis of a 50-50 cross-border merger between the Italian–American conglomerate Fiat Chrysler Automobiles and France’s PSA Group, is known for using shared vehicle platforms across its various brands to trim down costs. Thus, the upcoming entry-level electric cars from Fiat and Citroën brands are also expected to share platforms and several components. CEO Francois also admitted that it's very likely that there will be “synergies” with the shared platform.

Stellantis' announcement about the affordable EV surfaced as the pressure on the automobile giant to deliver battery-powered low-cost vehicles is on the rise, especially in European markets where Chinese automakers are on the offensive.