Automaker expects to manufacture more than 100 units of Hemi engine in 2026 and cancels plug-in hybrids after changes in US environmental rules
Contrary to the European automotive industry, which accelerates its energy transition, Stellantis has redefined its strategy for the United States market with an aggressive return to fossil fuels. The group announced that it will triple the production of its V8 Hemi engines in 2026, surpassing the 100,000-unit mark, to meet record demand in North America.
The decision marks a turnaround for the 5.7- and 6.4-liter naturally aspirated engines, whose manufacture in Saltillo, Mexico, seemed doomed after the discontinuation of icons such as the Dodge Charger and Challenger. According to the automaker, the reality of the market imposed itself on the theory: the demand for high-performance combustion vehicles remains heated, ensuring profit margins significantly higher than those of electrified models.
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The change of course is underpinned by a favorable political and legal backdrop in the U.S. Federal government rulings and recent court setbacks have weakened California’s autonomy to enforce its strict environmental goals. As a result, Stellantis disassociated itself from the agreement signed in 2024, which projected that 68% of sales in the state would be zero-emission by 2030.
The impact on the portfolio is immediate. The Jeep Wrangler V8 returned to sales in all 50 American states, while the Ram and Dodge brands reintegrated eight-cylinder versions into their catalogs. In a parallel movement, the launch of new plug-in hybrid models (PHEV) has been canceled for 2026.
The strategy, confirmed by Ram executives, reinforces a “two-speed” operation: while Europe continues to be a laboratory for electrification forced by CO₂ standards, the United States is consolidating itself as a refuge for the profitability of combustion engines.
