Poissy walkout underscores Stellantis's EU capacity squeeze

Workers at Stellantis's Poissy plant outside Paris walked out on Thursday in the first open confrontation since the carmaker confirmed it will halt vehicle assembly at the site by the end of 2028, a decision that turns the last passenger-car factory in the Île-de-France region into a parts and recycling hub.

The CGT, SUD and UNSA unions called the 23 April stoppage and rally after Stellantis informed works councils on 16 April that production of the DS 3 and Opel Mokka would cease within three to four years. The Italian-French-American group plans a €100 million reconversion, pivoting Poissy towards component manufacturing, additive printing, and the valorisation of end-of-life vehicles. Headcount is set to fall from roughly 1,580 to about 1,000 by 2030, through voluntary and natural departures.

The decision encapsulates a broader squeeze across European assembly operations. Poissy's output has nearly halved since 2023, falling from 145,800 cars to a forecast 68,000 this year, with 65,000 pencilled in for 2027. Stellantis is confronting sustained overcapacity, slower electric vehicle adoption than planners assumed, and aggressive pricing from Chinese entrants. The group booked a roughly $25 billion writedown earlier this year, underscoring how quickly the economics of mass-market combustion and electric models have unravelled.

Union rhetoric has been sharp. The CGT has branded the plan a catastrophe for the regional industrial base, warning of knock-on losses at suppliers and subcontractors across the Yvelines. The Bercy economy ministry said it would remain attentive to transition arrangements and to redevelopment of the surrounding land, echoing unresolved questions left by Renault's exit from assembly at Flins in 2024.

For Brussels, Poissy is a test case. With European new-car sales still roughly a quarter below 2019 levels, analysts expect further plant restructuring across France, Germany and Italy as OEMs rebalance footprints against a reshaped demand curve.