The Turin paradox: no to Leonardo, yes to the Chinese car (which is pulling out)

Are key figures in Turin’s civil society, the CGIL trade union and the Church wary of the shift from the automotive sector to defence? Well, just a few hours ago came the news that one of Italian industry’s major players, the Leonardo Group, has decided to invest in Turin what initially appears to be a modest sum (20 million) but which is set to generate 670 million over three years. Are the very same civil society circles and the FIOM clamouring for a new car manufacturer – this time a Chinese one – to set up in Turin? Well, Alfredo Altavilla, a former manager under Marchionne and now special adviser to the Chinese giant BYD, who was passing through Turin, has poured cold water on the idea: “For our third European plant after Hungary and Turkey, France and Spain are on the shortlist. We’ll decide by the end of the year.” But what’s going on? Have the roles been swapped? The Leonardo Group – which is feared, shunned and even physically targeted (by the Askatasuna club) – is creating new opportunities for the city, whilst those who are invoked and courted, such as the Chinese manufacturers, are turning their backs on the city and its great manufacturing tradition. Some observers refer to this as the Turin paradox: the city continues to anxiously question its future and its identity, yet in doing so gives rise to contradictions, ideological dogmatism and a touch of naivety.

The Leonardo Group has decided to carry out a reshoring initiative for its helicopter production chain, reducing its reliance on overseas procurement from 65 per cent and strengthening the domestic base of specialised small and medium-sized enterprises that are joining its supplier network. This has been announced for Turin, where no fewer than three companies in one fell swoop (Apr in Pinerolo, the Mecaer Aviation Group in Borgomanero and Tubiflex) will become an integral part of Leonardo’s helicopter supply chain – three of the most highly qualified in the world – joining Sabelt, which is already on board for the seats. The detail that may give pause for thought to those who have expressed outrage at ‘Turin, city of arms’ is that Leonardo Group executives have stated that ‘the automotive and defence supply chains have many points in common and similar skills’, and therefore the conversion is not a ‘load of rubbish’, as Maurizio Landini had branded it. Following Altavilla’s strong statements, the leader of the Piedmontese Fiom branch, Giorgio Airaudo, has once again argued for the need to attract Chinese investors regardless. Whether it is BYD or others, he maintains, is of little consequence. And this time he has directly accused Stellantis of having sabotaged this possibility by refusing to make the former Maserati plant in Grugliasco available to BYD, having stripped it of its machinery.

The defence-car issue is not the only conundrum dividing the city. The new Giorgio Rota Report – a long-standing event for reflection on the future of the Savoy region – has caused quite a stir, pointing the finger at Turin’s stagnation: over the past fifteen years, per capita added value has risen by just 188 euros, compared to 10,000 in Milan over the same period. This is not a matter of decline, the researchers emphasised, but of ‘prolonged stagnation’ which has led to the region’s limited growth. Now, however, Turin stands to have a major opportunity, given that public investment totalling 9.3 billion is set to pour into the city by 2032 – a situation comparable only to that which preceded the 2006 Winter Olympics. But will Turin’s ruling classes be able to seize this opportunity and use the mass of new investment as a catalyst for new activities, or will they end up using it passively merely as a large-scale social safety net? The first to ask themselves this question are the key players themselves. Meanwhile, as if that weren’t enough, the clashes that erupted in Val di Susa this summer have reopened the TAV wound. The centre-right regional council led by Alberto Cirio has strongly argued that this is a pointless and costly debate, whilst the Five Star Movement has reiterated its firm opposition and stepped up the pressure on the PD. Thus, they found themselves caught between a rock and a hard place, given that the PD mayors in the valley have always remained staunch No Tav opponents.