Stellantis said it will build a new battery-electric car at its plant in Kragujevac, Serbia.
The EV will replace production of the Fiat 500L small minivan, Stellantis said in a statement.
Stellantis CEO Carlos Tavares and Serbia President Aleksandar Vucic signed a 190-million-euro ($200 million) deal on Thursday to invest in EV production at the factory.
The new, yet-to-be named, EV will go into production at the beginning of 2024, Stellantis said. Another electric car might be added at a later date, the company said.