Fiat 500e Returns to Compete in the U.S. EV Market

If you want to study significant market shifts in American automotive history, a look at Fiat’s introductions, discontinuations and reintroductions says it all. 

Fiat first entered the U.S. market in 1908, making it one of the early European automakers to establish a presence in America. However, Fiat’s sales in the U.S. were very limited until the 1950s. When Fiat 500 launched in 1957, the small, affordable car became a symbol of Italian style and innovation. And it helped make car ownership accessible to millions of people. But by the 1970s, consumer preferences in America began to shift toward larger cars with more power and comfort. So, Fiat discontinued the 500 in 1975.

But in 2007, a market shift toward urbanization and interest in retro designs, prompted the reintroduction of the Fiat 500.  Younger buyers and city dwellers seeking a compact car with personality and practicality responded favorably to the 500.  Ultimately, the modern version of the iconic car from 1957 reestablished Fiat as an innovative and relevant player in the North American automotive industry.

Then in 2009, Fiat acquired a stake in the struggling American carmaker Chrysler, eventually taking control. This acquisition led to the creation of Fiat Chrysler Automobiles (FCA) in 2014. Under the FCA umbrella, Fiat benefited from Chrysler’s established presence in North America and other markets. While Chrysler handled larger vehicles, Fiat continued to produce small cars and city cars.  The Fiat 500 remained a central part of its lineup as a larger 500L and 500X small crossover were introduced.

Fiat Makes an Early Appearance in the All-Electric Arena

Introduced in 2013, Fiat 500e initially launched as a compliance car in California.  But the electric vehicle market was still in early development, and charging infrastructure was extremely limited. Even then, the 500e’s range of around 87 miles, was adequate for urban driving. But it was less compelling than that of some of the other North American e-car pioneers.

Fiat announced a decision to wait until battery technology and charging networks advanced. Since 2017, only the gas-powered 500 remained available domestically. With engines that ranged from fuel-efficient options to more performance-oriented trims, Fiat’s remained a trend-setter in urban mobility,

The Stellantis Era

In 2021, FCA merged with the French automaker PSA Group (which owned Peugeot, Citroën, Opel, etc.) to form Stellantis. This merger created one of the world’s largest car manufacturers.

Today as a Stellantis family member, Fiat remains a beloved name in Europe.  And it continued to sell a handful of vehicles in the North American market.  The reintroduction of the all-electric Fiat 500e in 2024 was key to sustaining the Italian automaker’s North American presence. 

2025 EV Challenges

Fiat’s seven years of disappearance from the EV segment gave its competitors an edge. The Nissan Leaf, Chevy Bolt, and Tesla Model 3 all benefit from strong brand recognition with EV buyers. 

Another hurdle was remaining competitive against larger EV manufacturers with more developed networks. So, Fiat includes a Level 2 home charging station with the purchase of the 500e. And Fiat’s Free2move Go package provides $600 in charging credits for public charging stations around the country.

But here, where long-distance travel is more of a factor in purchasing decisions, Fiat’s 141-mile battery-only range still lags that of others. In America, EV makers continually strive to best each other with driving ranges now topping 200+ miles.

Other Challenges

Despite the U.S. government’s efforts to subsidize electric vehicles, there is an apparent slowdown in sales, Forbes reports. And even after government incentives, all-electrics in general still have a higher starting price than the sea of gas-powered subcompacts they compete with. 

Even those willing to pay a higher up-front price for an all-electric will have to be willing to trade space if they like the Fiat 500e enough to buy it.  It’s a 3-door hatchback for two passengers. Yes, it actually does have rear seating, but it’s extremely cramped, only suitable for small passengers or occasional use.  And cargo space is also very limited.

The driving experience itself is, well, just different.  As with most EVs, the 500e allows for one-pedal driving, with the regenerative braking system slowing the car down when you back off the accelerator.  The golf-cart-like feel is something that takes some getting used to.  But overall, it’s not uncomfortable, powerful enough with quick acceleration and easy maneuverability.  And all versions of the 500e come well-equipped to meet the high expectations of its young modern buyer profile. 

The Bottom Line

Our 500e tester was the “Inspired by Beauty” mid-trim. It is mostly a cosmetic option with a Rose Gold exterior color and interior accents, synthetic leather interior, and heated front seats.  In our opinion, the Rose Gold limits it. A lot of buyers may define “stylish” in a different manner than “quirky” to begin with, especially with the Rose Gold. The entry level Inspi(Red) or top level Inspired by Music tuxedo black colors would be our preference.

We recognized that we’re outside of the buyer profile that Fiat 500e targets. But, if we’re being honest, we would have a hard time paying $36K for the Fiat 500e. Yet, we root for all that the iconic Fiat 500 and its electric counterpart, the Fiat 500e, represent. Fiat’s distinctive blend of European style, efficiency, and innovation resonates with a niche, yet passionate, group of American consumers.