Lancia Gamma unveiled as brand's first SUV

For the first time in 11 years, Lancia will have a second model in its range, with the just-unveiled Gamma due to go on sale later this year.

While the second-generation Gamma, sold between 1976 and 1984, was available as an executive-class coupe and fastback-style sedan, the new model is a 'coupe SUV' with hidden rear door handles and the brand's Y-shaped driving lights.

Inside the minimalist cabin there are few physical switches, with most functions, including the air-conditioning, controlled either via the touchscreen or steering wheel. Like in the smaller Ypsilon, a semi-circular tavolino table juts out of the centre of the dashboard.

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The new Gamma is 4.67m long, 1.89m wide, and 1.66m tall, making it significantly larger than the 4.0m Ypsilon, which is closely related to the Peugeot 208 and Opel Corsa.

Based on the STLA Medium architecture, the Gamma will be available a choice of petrol and electric drivetrains. So far the only confirmed combustion model is a 108kW hybrid, probably featuring the Stellantis 1.2-litre turbocharged three-cylinder petrol engine. 

The EV range kicks off with a 172kW front-wheel drive model that's said to have a WLTP range of at least 540km. In the middle is a 183kW variant with an estimated range of 740km, while at the top of the pile is a 280kW dual-motor all-wheel drive model with a range of 675km.

The Gamma will be produced at the company's Melfi factory in southern Italy alongside DS No. 7, DS No. 8, and Jeep Compass, all of which use the same platform.

Lancia's range will grow to three models in 2028 when the Delta goes into production. It's unknown what's planned for the brand after that, though.

When Fiat Chrysler and PSA Peugeot Citroen merged to form Stellantis in 2021, then-CEO Carlos Tavares gave each of the company's 12 distinct brands a high level of autonomy and a decade to sort themselves out with fresh product.  

Under the FaSTLAne 2030 turnaround plan launched last week by current CEO Antonio Filosa, the French-Italian-American automaker will concentrate 70 per cent of its product budget on four core brands (Fiat, Peugeot, Jeep and Ram), as well as the commercial vehicle division.

While Alfa Romeo, Opel/Vauxhall, Citroen, Chrysler and Dodge have been relegated to regional status, the weakest marques in the company's portfolio, DS and Lancia, are now classified as "heritage brands" and come under the control of Citroen and Fiat, respectively.

In 2024, Lancia launched a new Ypsilon, finally replacing the third-generation model that had been on sale since 2011. Although it boasts a much more modern platform, new design language, and the company's first EV drivetrain, the car's step up in size and pricing has tanked sales from around 40,000 per year to just over 11,000 in 2025.