Earlier this year, Fiat's Panda seemed to be riding high. The popular city car, a mainstay in Italian garages for decades, was enjoying a surge in demand, prompting the automaker to increase production by 20%. This success led Fiat CEO Olivier Francois to confidently announce that production would continue at the Pomigliano d’Arco plant until at least 2027.
However, just a few months later, the tide has turned. Stellantis, Fiat's parent company, has announced plans to temporarily halt production at several of its Italian plants, including the one that manufactures the Panda. The decision, attributed to "tough market conditions," will see work stoppages at Pomigliano d’Arco, Termoli, and Pratola Serra starting in November.
This news comes on the heels of a similar pause at the Mirafiori plant, where the Fiat 500e and Maserati GranTurismo are produced. While the 500e has faced challenges, the introduction of a new hybrid variant is expected to boost sales.
Despite the production halt, the Panda itself has continued to perform well. In July, it was the best-selling vehicle in Italy, with sales increasing by 21% compared to the previous year. However, Stellantis has emphasized that the pause is necessary due to the difficult economic landscape and the need to make tough decisions.
The decision to temporarily halt production of the Panda raises questions about the future of this iconic model. While it remains a popular choice for Italian consumers, the broader economic challenges faced by Stellantis have forced the company to take drastic measures. It remains to be seen whether the Panda will be able to weather this storm and continue its long-standing success.