GM, Stellantis look to cut China reliance, turn to Korean parts

GM's shares rose 3.50% after it began supplying missile components to Lockheed Martin, adding a new revenue stream. GM delivered its first batch in August, with CEO Mary Barra expecting $700M in defense revenue this year. Lockheed shares fell 2.05% as it faces production challenges.

Lockheed Martin received its first shipment of Patriot interceptor parts from General Motors, 22 days after signing a contract. The parts, for the PAC-3 MSE system, are crucial for missile defense. Lockheed is investing $8B-$9B to scale munitions output, including PAC-3 MSE and THAAD. GM Defense's precision-fabrication expertise supports this collaboration.

Stellantis (STLA) plans to sell its majority stake in used-car platform Aramis Group. The company owns 60.5% of Aramis' capital and 67.4% of its voting rights, according to a French publication.

The MIB index rose 0.8% to 52,385.50, aligning with broader European market gains. The Bank of England held rates at 3.75% and confirmed its quantitative tightening plan. Stellantis, Leonardo, and Ferrari saw stock movements due to specific developments. Deutsche Bank adjusted its target price for Inwit. Other notable movers include EPH Invest, Tesmec, and Pharmanutra.

Lockheed Martin received the first batch of Patriot interceptor parts from General Motors, marking a 22-day turnaround. The companies aim to enhance defense production, with Lockheed investing $8B-$9B to expand missile and munitions capacity, including a 50% increase in production space.

General Motors (GM) will supply parts for Lockheed Martin's Patriot missiles to aid U.S. munitions production. GM delivered components in three weeks, much faster than typical timelines. GM expects $700 million in defense revenue this year, with double-digit margins. The Pentagon aims to triple Patriot output by 2030, straining supply chains.