If you’ve been following the ups and downs of the electric vehicle market, you’ve probably noticed that it’s been a rollercoaster ride lately. Despite a slight uptick in EV market share in France during April 2025, many buyers are still wary of sticker shock and limited range. While some models like the Renault 5 E-Tech continue to dazzle, the humble Fiat 500e has been stuck in the slow lane, losing relevance—and sales—fast.
Launched in 2020, the current Fiat 500e was supposed to be a bold step forward for Fiat’s iconic city car. Instead, registrations from January through July 2024 plunged 42% compared to last year. Banking on its nostalgic charm wasn’t enough to overcome perceived high prices and sub–200-mile range. With production halted several times and the price slashed to around €29,400 (about $31,000) for just 190 kilometers (118 miles) WLTP range, something had to give.
Fiat’s Last-Chance Fix: Hybrid Power
In a surprise move, Fiat has decided to bring back a hybrid version of its pint-sized city hero. This time, the strategy is more aggressive: instead of an entirely electric drivetrain, the new Fiat 500 Hybrid will pair a tiny internal combustion engine with mild-electric assistance. Early assembly is already underway at Fiat’s Mirafiori factory in Turin, with ambitious targets of over 100,000 units per year.
Why hybrid? Well, hybrids often carry lower price tags than their all-electric siblings and boast less range anxiety—drivers can top off the tank in minutes. With a starting price expected to undercut the EV model by several thousand dollars, the hope is to rekindle shoppers’ interest and give the 500 its much-needed second wind, at least until EV prices and battery tech become more wallet-friendly.
Under the Hood: What’s New
According to insiders at L’Argus, the Fiat 500 Hybrid will borrow the 1.0-liter three-cylinder naturally aspirated engine that powers the latest Panda Hybrid. Paired with a 6-speed manual gearbox, this powertrain delivers a modest 70 horsepower—enough to zip around city streets with a smile. Don’t expect automatic shifting; packaging constraints on the STLA City platform left no room for a full dual-clutch or CVT setup.
The hybrid 500 will draw juice from a small 12-volt, 0.13 kWh battery pack that works with an alternator-starter system. It’s not designed for long EV-only jaunts, but it provides a helpful boost during acceleration and allows the engine to shut off at stoplights. In other words, it’s a true mild hybrid—enhancing fuel economy and reducing idling emissions without the complexity or cost of a full plug-in hybrid system.
Electric Model Gets a Makeover Too
Fiat isn’t abandoning the pure electric 500. Alongside the hybrid rollout, the 500e is scheduled to receive some neat upgrades before the end of 2026. Chief among them: a switch to LFP (lithium-iron phosphate) battery chemistry. Produced in Spain in partnership with battery giant CATL, these cells promise improved longevity and safety at a lower cost per kilowatt-hour.
Details on the new battery’s capacity and range are still under wraps, but rumors suggest a bump well above the current 190 kilometers (118 miles). Fiat may also tweak the charging architecture and user interface, making plug-in life a little smoother. And there’s talk of a slight price cut to keep the EV 500 competitive against frugal rivals like the Renault 5 E-Tech, which currently starts around €25,000 (~$26,300) for up to 300 km (186 miles) WLTP range.
Styling and Practical Updates
On the styling front, the hybrid and refreshed electric models will share a fresh, more open front grille design to help cool the engine in the hybrid’s nose. The fuel filler door is taking the place of the charging port, so you’ll notice a new flap on the driver’s side. Subtle tweaks to the front bumper and new wheel options complete the look, giving the 500 lineup a modern twist while preserving that unmistakable retro charm.
Inside, expect updated infotainment software, new upholstery choices, and a few more storage cubbies to make daily city driving more convenient. Fiat’s still fine-tuning details like headliner colors and the digital display layout, but the goal is clear: keep the 500 fun, fresh, and practical for urban commuters, students, and anyone needing a trusty runabout.
Looking Ahead: Timeline and Pricing
The Fiat 500 Hybrid will hit showrooms in the fourth quarter of 2025, just in time for holiday test drives. Pricing is expected to start in the low $20,000s, making it one of the most affordable hybrids on the market—ideal for budget-conscious drivers wary of full EV costs. Dealer incentives and Fiat’s tempting lease deals should make it even more appealing.
Meanwhile, the revamped 500e with its new LFP battery and refreshed styling won’t arrive until late 2026. By then, Fiat hopes the EV’s improved range and reduced price tag will help it claw back market share. In the ever-evolving world of electrified transport, this two-pronged approach could be the perfect way to keep the 500 nameplate thriving for years to come.