Stellantis CEO Carlos Tavares Quits As U.S. Jeep, Ram Sales Sink

Stellantis Chief Executive Carlos Tavares abruptly resigned on Sunday, two months after the automaker, which produces Jeep, Fiat, and Peugeot vehicles, issued a profit warning.

Stellantis has lost approximately 40% of its value this year. I Photo: Stellantis Facebook

The company has lost approximately 40% of its value this year, Reuters reported. Stellantis announced it would aim to find a replacement CEO in the first half of 2025.

Senior Independent Director Henri de Castries stated that disagreements had arisen in recent weeks between major shareholders, the board, and Tavares, prompting his resignation.

The company’s board, including Chairman John Elkann, accepted the resignation "with immediate effect" and established an interim executive committee chaired by Elkann.

Previously considered one of the most respected executives in the automotive industry, Tavares faced criticism after a steep decline in North American sales led to a profit warning in September.

The forecast included a cash burn of up to €10 billion ($10.6 billion), driven by sluggish sales and rising inventories in North America, a crucial market for Stellantis.

In response, the company reshuffled top management, replacing its Chief Financial Officer and North American operations head, but initially spared Tavares. Stellantis shares have fallen around 40% this year, compared to a 7% decline for Ford Motor shares and a 55% rise for General Motors.