Fiat 500 Hybrid: Made to Attract Rental Fleets?

Blow to electric vehicles: Fiat is developing a thermal version of its stunning 500e with production exceeding that of its electric version.

The battle between electric and thermal vehicles is still far from won. Mindsets are evolving very slowly, particularly the understanding that electric vehicles are, as of now, a true lever for increasing purchasing power.

Indeed, a small electric car, despite government incentives, is still slightly more expensive than an equivalent thermal vehicle (which is not true for SUVs or sedans like the Renault Scenic or Tesla Model 3 and Model Y), but in practice, the balance of power shifts. Fuel costs, maintenance, parking – everything becomes more expensive with a thermal vehicle.

Fatal decision for Fiat?

It’s difficult for consumers to navigate Fiat’s decision to urgently develop a “light” hybrid version of its beautiful 500e. In a recent communication, the Italian manufacturer shared its forecasts: up to 110,000 hybrid versions sold per year, which is more than the electric version.

The problem is that the 500e was conceived from the start as a 100% electric vehicle. Its thermal variant risks offering a “mongrel” product that will lose coherence. But Fiat accommodates this with the promise of a much lower selling price. How much? No one knows for sure.

Positioned as more premium than in the past, particularly with flattering interior materials, the 500e starts at 26,400 euros in France, with an ecological bonus of 4,000 euros deducted. At this price, you only get the version with a small battery and 200 km of range. Enough for daily use, to be honest. But 26,400 euros is not within reach of every family.

At the same time, the old Fiat 500 Hybrid, far more outdated in every aspect, starts at 18,700 euros. Therefore, the future thermal Fiat 500 will inevitably be positioned around 20,000-21,000 euros. The price gap with the electric version might seem psychological, but in practical use, once again, the consumer would make a poor choice opting for the gasoline variant. Unless Fiat and Stellantis mainly target renters and their gigantic fleets as primary customers…

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