The company began the shift in late 2025, bringing back diesel powertrains for several models, including versions of the Peugeot 308 and DS No. 4 hatchback, according to dealer listings and company statements, News.Az reports, citing Reuters.
The move comes as EV sales growth has slowed and European regulators have eased emissions targets, allowing combustion engine vehicles to remain in the market longer. Diesel vehicles also provide a potential competitive edge against Chinese automakers that primarily focus on electric and hybrid models.
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Diesel once accounted for more than half of new car sales in Europe in 2015, but its share dropped sharply after the emissions testing scandal known as Dieselgate scandal. By 2025, diesel vehicles made up just 7.7% of new car sales in Europe, compared with 19.5% for fully electric vehicles.
Stellantis said it is prioritizing customer demand and growth, even as it scales back EV ambitions. The company recently announced major charges linked to its EV strategy and has also revived combustion-engine models in the United States and expanded hybrid options in Europe.
