Stellantis to buy CO2 credits from Tesla 'pool' also in 2025, exec says

TURIN, Italy (Reuters) -Stellantis ( STLA ) will buy credits from a "pool" led by Tesla also in 2025, to meet European Union's CO2 reduction requirements, despite Brussels giving carmakers three years to comply, the group's Europe head said on Saturday.

Carmakers facing tougher EU emissions rules this year agreed to pool their emissions and avoid hefty fines by having firms with lower electric vehicle (EV) sales buy carbon credits from segment leaders including Tesla and Polestar.

Stellantis ( STLA ), Europe's second largest carmaker, entered a pool led by Tesla, which also includes other competitors.

However, earlier this month the European Commission yielded to pressure from European manufacturers and allowed compliance based on a carmaker's average emissions over the 2025-2027 period, rather than just on 2025 as initially envisaged.

Asked whether Stellantis ( STLA ) planned to use credits bought from Tesla this year, the group's head of European operations Jean-Philippe Imparato said: "I'll use everything".

Imparato spoke at an automotive event in Turin, where it said Stellantis' ( STLA ) current EV mix on its European sales was at 14%, compared to a 21% target set by the EU.

The 2027 extension "gives us some breathing space, but does not provide a solution," he said.

Imparato added production on the new hybrid version of the Fiat 500 city car would start at Stellantis Mirafiori complex in Turin in November, with an annual targeted output for the car, both in its hybrid and EV versions, of 130,000 units.

(Reporting by Giulio Piovaccari; Editing by Valentina Za)