Stellantis to triple production of its V8 engine to meet record demand

As the European automotive industry continues on its path towards accelerated electrification, a recent decision by Stellantis is a reminder that the global market is not moving at the same pace, nor in the same direction. In 2026, the automotive group plans to triple production of its V8 HEMI engines, with over 100,000 units expected, in order to meet what it describes as "record" demand, mainly in North America. A counter-current announcement, but perfectly indicative of a strategy that is now deeply regionalized.

The unexpected return of the V8 HEMI

The V8 HEMI engine seemed doomed. With the gradual disappearance of iconic models such as the Dodge Charger, Challenger and Durango, and the partial shutdown of production lines in Saltillo, Mexico, all the signs were that these naturally-aspirated engines were a thing of the past. However, market reality has caught up with theory. Faced with much stronger demand than expected, Stellantis decided to massively relaunch production of the 5.7 and 6.4-liter HEMI V8s. These engines, which have become rare in a sector obsessed with CO₂ grams, nevertheless continue to appeal to a loyal customer base, willing to pay dearly for models with a strong identity. For the Group, this is also an obvious profitability lever, with large-displacement combustion engines still offering very high margins.

US loosens regulatory stranglehold

This strategic shift did not come out of nowhere. It is part of a profoundly transformed political and legal context in the United States. Federal decisions taken under Donald Trump's administration, combined with several recent rulings, have weakened California's ability to impose its own environmental rules. The agreement signed in 2024 between Stellantis and the Californian authorities, during the Carlos Tavares era, set very ambitious targets: up to 68 % of zero-emission vehicle sales by 2030. But legal action by several manufacturers, including Daimler and Volvo, has called into question the very legality of this type of contractual commitment when the targets are no longer supported by federal law. As a result, Stellantis is no longer really obliged to follow this trajectory in California, its most strategic market in the USA.

Thermal power back on track in North America

The signals sent by Stellantis are now very clear. The V8-powered Jeep Wrangler is once again available in all 50 US states, including California. Ram and Dodge have reinstated V8 versions in their catalogs, while Plug-in hybrid models have simply been cancelled for the year 2026. According to Mopar Insiders, this momentum will translate into a tripling of HEMI V8 production by 2026. This is confirmed by Ram CEO Tim Kuniskis, who fully assumes this choice: demand for high-performance engines remains extremely strong in North America and is, more than ever, a pillar of the Group's profitability.

A two-speed strategy

The V8's return to favor doesn't mean that Stellantis is giving up on electrification. In Europe, the reality is quite different. The group has no choice: the CO₂ standards imposed by Brussels force a rapid and massive reduction in average emissions, on pain of colossal fines. New platforms, widespread hybridization, 100 % electric vehicles: the European trajectory remains rigorously framed. But in the United States, Stellantis is playing a different game. Less constrained by regulations, the group adapts its offering to actual market demand. V8s and in-line six-cylinders are once again strategic products, while Europe is transforming itself into a laboratory for the electric transition.