Termoli’s engine plant extends a solidarity agreement for another year while preparing to launch electrified gearbox production amid falling volumes
Executive summary: Stellantis’ Termoli engine factory received a one‑year renewal of its solidarity contract and announced a new production line for electrified gearboxes, while reporting continued volume declines. The move highlights the cost‑saving measures needed to keep the plant operational during the shift to electric vehicles, affecting local employment and Stellantis’ Italian production capacity.
Who is involved: Stellantis, the Fim‑Cisl union, Italian government labor authorities, and the Termoli plant workforce.
Likely next: Union talks with Stellantis are expected in September 2026 to define a detailed transition roadmap, and the electrified gearbox line is slated to start production in Q4 2026.
The Molisano facility, owned by Stellantis, has had its solidarity contract renewed to mitigate ongoing output declines, even as it readies a new line for electric‑vehicle gearboxes. Union representatives warn that without a clear transition plan, the plant risks further job losses despite the upcoming product shift. The development illustrates the broader pressure on traditional powertrain sites to adapt to EU electrification mandates.
Timeline
- — Nella fabbrica di motori di Termoli ancora un anno di solidarietà e volumi in calo (Il Sole 24 Ore — Economia)
Analysis — what this means
Likely next events
- Fim‑Cisl union to meet Stellantis management on September 15, 2026 to negotiate a transition plan for Termoli.
- Production of the new electrified gearbox line at Termoli scheduled to begin in October 2026.
- Stellantis to evaluate extending the solidarity contract beyond August 2027 if volume recovery targets are not met.
- Italian Ministry of Labor to review the solidarity contract renewal under Decreto Legislativo 148/2015 by end of September 2026.
Sectors affected
- Internal combustion engine manufacturing in Italy
- Electrified transmission component supply chain
- Automotive labor market in Molise region
- Stellantis’ European powertrain portfolio
Regulatory implications
- EU CO2 fleet average target of 95 g/km by 2025 pushes Stellantis to accelerate electrification of powertrain components.
- Italian solidarity contract (Cassa Integrazione Guadagni) renewal subject to labor law decrees, with possible extension reviews every 12 months.
- Just Transition Fund allocations may support retraining of Termoli workers for EV‑related roles.
Historical parallels
- Fiat Pomigliano plant used solidarity contracts from 2019 to 2020 during the transition to the new Fiat Panda model.
- Volkswagen Wolfsburg plant underwent temporary short‑time work in 2020 amid diesel‑scandal fallout and shift to electric models.
Key entities
Sources
- Nella fabbrica di motori di Termoli ancora un anno di solidarietà e volumi in calo — Il Sole 24 Ore — Economia