Stellantis NV (NYSE: STLA) Chief Executive Carlos Tavares has stepped down following a dispute with the board over how to arrest weakening sales and a stock slump, the company said on Sunday.
The maker of Jeep SUVs and Fiat cars will be managed by an interim committee led by Chairman John Elkann until a new CEO is named in the first half of 2025, Stellantis said in a statement confirming an earlier Bloomberg report.
Tavares’s departure comes earlier than his expected 2026 end of mandate. The CEO is leaving as his views on the carmaker’s future differed from those of the board and some shareholders, the company said.
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“Stellantis’ success since its creation has been rooted in a perfect alignment between the reference shareholders, the Board and the CEO,” Stellantis’ Senior Independent Director, Henri de Castries, said. “However, in recent weeks different views have emerged which have resulted in the Board and the CEO coming to today’s decision.”
The 66-year-old executive, who led Stellantis since its formation in 2021 through the merger of PSA Group and Fiat Chrysler, had been trying to regain control after setbacks that led to slashed profit and cash flow expectations in September.
“He won’t be missed in North America,” Erik Gordon, professor at the University of Michigan’s Ross School of Business told Bloomberg. “Not by the suppliers he fought with. Not by the dealers he fought with. And not by car buyers who ignored his vehicles.”
The leadership change comes as global automakers confront a slumping market struggling with an economic slowdown in China, flagging demand for electric vehicles in Europe, and the threat of tariffs. Nissan Motor Co (TYO: 7201) Chief Financial Officer Stephen Ma is also set to step down, people with knowledge of the matter said.
Information for this story was found via Bloomberg, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
