Chrysler focuses on Tesla. The Auto Maker plans to go all-electric by 2028.

Font size

More traditional automakers are targeting

Tesla

and go after a piece of the growing pie of electric vehicles.

Stellantis

(ticker: STLA) Chrysler brand unveiled a self-driving concept EV at the Consumer Electronics Show in Las Vegas. The new car is just the beginning for the former member of the Detroit three group of automakers. Chrysler wants to sell only electric vehicles by 2028.

The Chrysler Airflow is an all-electric sedan that will house the most advanced vehicle technologies from Stellantis. For example, an Airflow will be equipped with level three autonomous driving capabilities. This means that under certain, limited circumstances, motorists can safely stop focusing on the road. Today’s autonomous driving features are classified as level two. That means cars can do a lot for drivers, like regulate speed and even change lanes, but drivers still need their eyes on the road 100% of the time.

In addition to self-driving technologies, an Airflow will include STLA SmartCockpit, which personalizes the driving experience and connects work and home devices for a user. The range per charge is targeted at 350 to 400 miles. Prices are not yet available.

“The Chrysler Airflow Concept represents the beginning of the brand’s journey to a fully electrified future,” said Ralph Gilles, Chief Design Officer at Stellantis, in a company press release.

The Airflow will be Chrysler’s first all-electric vehicle and is expected to hit the road in 2025. Chrysler plans to be an all-electric producer by 2028.

Chrysler is a brand within Stellantis, together with Fiat and Peugeot. Stellantis want to 70% of its new cars sold in Europe to be fully electric by 2030, along with 40% of its new cars sold in the US. Those EV targets are similar to those of other automakers, such as

General engines

(GM) and

Ford Motor

(F).

At that penetration level, EV volumes in the US and Europe should reach about 20 million units per year, a tenfold increase from 2021.

Today, Tesla (TSLA) has a market share of approximately 70% in electric vehicle sales in the US and 20% in Europe. (Many more EV models are sold in Europe than in the US). A big question for investors to figure out, amid all the EV announcements from traditional automakers, is which companies will get a share of that share of the EV leader. And of course how much share Tesla will keep.

According to some of the most optimistic estimates on Wall Street, Tesla will make about 20% of all EVs around the world by the end of the decade.

Concept car announcements typically don’t move automaker stock. That seems to be the case on Wednesday. Shares of Stellantis fell about 1% in premarket trading after rising 3.8% on Tuesday.

S&P 500
and

Dow Jones Industrial Average
futures were flat.

Write to Al Root at [email protected]