Back in 2019, the Fiat-Chrysler group agreed upon a deal with Tesla to help it offset its emissions and allow it to dodge billions in fines imposed by the European Union. In case you don’t know, the EU wants all manufacturers who sell cars in Europe to have an average CO2 emissions rating of 95 g/km or less for their entire range, otherwise they are severely fined for each gram over on each car they sell.
But there is a loophole in the law which allows manufacturers with high overall emissions (that exceed the accepted limit) to pool their cars together with manufacturers whose rating is below the threshold. And this is what Fiat-Chrysler did last year - it pooled its cars together with Tesla’s in order to avoid the aforementioned fines.
Naturally, Tesla had a lot to gain from this, although we don’t exactly know many millions it received for helping FCA. What’s clear is that it can still sell its range of inefficient and polluting models, and car enthusiasts can rejoice because that includes the current crop of very enjoyable Alfa Romeo models (none of which are electric or even electrified, for that matter).
If you didn’t know about this deal and want to learn all the details, check out this video made by Rory Reid for AutoTrader where he explains how it all works.