Stellantis Expects $2.7-B H1 Loss As Restructuring Costs, U.S. Tariffs Bite

Stellantis reported a preliminary first-half loss of €2.3 billion ($2.7 billion) as it grapples with product line overhauls in Europe and the U.S., while absorbing the cost of U.S. tariffs on vehicles and parts, Giulio Piovaccari and Valentina Za reported for Reuters.

Stellantis, which owns brands including Fiat, Peugeot, Chrysler, and Jeep, said Trump’s tariffs have already cost it €300 million. I Photo: Stellantis Facebook

The automaker recorded €3.3 billion in pre-tax charges for the first half, citing canceled programs—including a hydrogen fuel cell initiative—ongoing fines tied to pre-Trump carbon emission rules, and increased investments in hybrid vehicles for Europe and large gasoline models for the U.S.

“Worse than consensus, but we think poor numbers were anticipated,” wrote Jefferies analyst Philippe Houchois.

Bernstein analysts added that while the earnings miss was significant, Stellantis' restructuring “suggests decisive actions.”

Earlier this month, the company launched a €17,000 hybrid Fiat 500, a move aimed at reviving Italian production.

Stellantis, which owns brands including Fiat, Peugeot, Chrysler, and Jeep, said Trump’s tariffs have already cost it €300 million as it reduced shipments and scaled back production.

The loss—compared to a €5.6 billion net profit a year ago—highlights the challenges facing new CEO Antonio Filosa. He replaced Carlos Tavares in May following a disastrous 2024 performance in the U.S. market, Enrico Sciacovelli and Nick Carey also reported for Reuters.