Dacia Moves Spring EV Production to Slovenia to Dodge Chinese Tariffs

Dacia has unveiled the next generation of its Spring electric city car, marking a strategic pivot in production from China to Europe. The move signals a broader effort by the Renault Group to insulate its budget EV lineup from geopolitical volatility and rising import costs.

The new Spring will be manufactured at the Revoz factory in Novo Mesto, Slovenia. Beyond the change in origin, the updated model features a roomier body compared to its predecessor and an increased driving range of up to 155 miles. To achieve these improvements, Dacia is shifting the vehicle's architecture, with the new generation sharing underpinnings and a platform with the Renault Twingo E-Tech.

The Pivot to European Sourcing

For years, the original Dacia Spring operated as a rebadged Chinese EV, produced via Renault's partnerships in Asia. However, the European automotive landscape has shifted rapidly. The region is currently seeing a massive influx of low-cost Chinese brands, such as BYD and MG, while the European Union has introduced potential tariffs on Chinese-made vehicles to protect domestic industry.

By relocating production to Slovenia, Dacia is effectively "Europeanizing" its supply chain. This transition allows the brand to bypass import tariffs that would otherwise inflate the cost of the vehicle, ensuring it remains competitive against both domestic rivals and the very Chinese imports it seeks to counter.

The Battle for the Budget Market

This strategic shift is critical because Dacia is targeting a price point below €18,000 (approximately €17,900). Industry analysts view the sub-€20,000 bracket as the essential threshold for mass EV adoption, as it opens electric mobility to a wider demographic of urban commuters who cannot afford premium electric vehicles.

By leveraging the Twingo E-Tech platform and local production, Dacia aims to maintain its position as the most affordable EV in Europe. The move appeals not only to the wallet but also to a growing segment of consumers who prefer European-made goods over imports.

What to Watch

While the technical specifications and production shift are confirmed, the final market rollout remains the primary variable. Official final pricing for the new generation in Italy and other European markets is still emerging, with some reports suggesting a full launch may not occur until 2026. Observers will be watching to see if Dacia can maintain its aggressive pricing targets while absorbing the potentially higher costs of European labor and manufacturing.