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Why the US market made Alfa Romeo cancel its EV-only switch

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Alfa Romeo won’t switch to an electric vehicle (EV)-only lineup by 2027, and the brand’s North American chief has explained why.

“The biggest thing in our product and technology road map is transitioning from what was a BEV [battery-electric vehicle]-only strategy for Alfa to one that is multi-energy,” Chris Feuell told Automotive News.

“We’ve got 110 dealers… in our US network, and it would be very challenging for them to survive with a BEV-only portfolio.”

The Italian brand had previously said the Tonale, launched in 2023, would be its last new vehicle to feature a combustion engine in the US.

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  • Junior

It subsequently revealed the Junior for the European market, which offers a choice of electric or mild-hybrid petrol powertrains.

While it’s coming to Australia, this model hasn’t been confirmed for the US market, however Ms Feuell asked US dealers this month if they were interested in the model.

Globally, the brand now has the Junior; the petrol and plug-in hybrid Tonale; and the petrol-powered Stelvio and Giulia.

Replacements for the latter two are due in 2025 and 2026 respectively, offering electric power.

  • Current Giulia

Alfa Romeo is struggling in the US market, with sales declining four years in a row and slumping by 19 per cent in 2024.

Like other Stellantis brands, it’s also dealing with a glut of old inventory – something it’s now addressing with sharper incentives.

Not helping the brand’s fortunes are the advanced ages of its Giulia and Stelvio, which are at the end of their lifecycles.

“If we replicate what happened in 2024, we’ll lose a lot of dealers, and we need to rebuild the network rather than deplete it. We’re down to 110 dealers from where we were at 150,” said Ms Feuell.

  • Current Stelvio

She also said a key priority was “getting the sales back on track [and] improving some of the quality issues that we’ve had in the product so they can shift away from a very high mix of warranty repairs back into customer-pay maintenance and light repair work”.

It’s unclear whether Alfa Romeo will stick to its 2027 EV target in markets outside of North America.

Alfa Romeo leadership has already left the door wide open for next-generation models with petrol engines.

“As we are blind in terms of changes in regulation, my only answer is that I have the means to adapt,” Jean-Philippe Imparato, Alfa Romeo’s former CEO and now head of Stellantis Europe, told Auto Express in October 2024.

  • STLA Large

“We will assess where we are. If the current global ecosystem does not change, [the next-generation Giulia] will be 100 per cent electric.

“If I see it is changing, or that I’m not matching what I want, it is not a problem to adjust with alternative powertrains.”

Both the upcoming Giulia and Stelvio are set to use the STLA Large platform underpinning models like the new Dodge Charger and Jeep Wagoneer S and Recon.

This platform supports not only EVs, but also plug-in hybrids and traditional combustion-powered vehicles.

STLA Large is also expected to underpin a new flagship model for the Alfa Romeo brand, expected to be a large SUV. It has been developed with the US market as a key focus.

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