EU and US could reach trade deal this weekend - Reuters
Investing.com -- Stellantis (NYSE:STLA) is not currently experiencing supply bottlenecks for rare earths from China, according to Jean-Philippe Imparato, the head of the automaker’s European operations.
Speaking at an automotive event in Turin, Italy on Thursday, Imparato stated, "We’re all fine for June," though he noted the company had faced challenges in managing the situation previously.
"But, let me tell you, we have spent some tough hours on managing the whole situation," he added, without providing further details.
The statement comes after China imposed new restrictions in early April that require exporters to obtain licenses from Beijing before shipping rare earth materials.
China controls more than 90% of global processing capacity for rare earths, which are critical components used in automobiles, fighter jets, and home appliances.
These export restrictions have created supply pressures for Western manufacturers who rely on these materials.
Rare earths are essential components in many automotive applications, making any supply constraints potentially significant for global automakers like Stellantis.
Despite these broader market pressures, Imparato’s comments suggest Stellantis has secured sufficient supplies for its immediate production needs.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.