A new head for Stellantis will reportedly be appointed sometime in the first half of 2025.
In what is the latest twist in Stellantis’ recent story, Stellantis CEO Carlos Tavares has stepped down with immediate effect. The 66-year-old was the first CEO for 14-brand automotive giant since it was formed in 2021, with him landing the position after having played a pivotal role in forming the world’s fourth-largest automaker through the merger of FCA and PSA.
Stellantis has stated that the search process for a replacement for Tavares is already “well underway”, with a successor set to be decided upon in the first half of 2025. In the mean time, the automotive conglomerate will be headed by an interim executive committee with Stellantis (and Ferrari) Chairman John Elkann at the helm.
News of Tavares’ resignation came as a surprise to the industry as the executive had previously said he planned to retire in 2026. Reasons as to what sparked the sudden resignation is currently still a mystery, but Senior Independent Director Henri de Castries said in a statement that differing views that emerged in recent weeks among major shareholders, the board and Tavares had resulted in the CEO’s resignation.
It has to be said also that the auto conglomerate’s poor performance in recent time is a likely contributing factor to Tavares’ decision in opting for an earlier exit. Jeep is down 8% in the United States through the third quarter of the year, while Ram and Dodge have fallen by 24%. Despite the launch of its Tonale mid-sized crossover too, sales of Alfa Romeo is also currently down 10%.
This is incidentally not the first big change within the auto conglomerate’s corporate structure in recent time too, as it was just two months ago Santo Ficili was named CEO of both Maserati and Alfa Romeo, replacing Davide Grasso and Jean-Philippe Imparato, respectively.
Tavares had been rather vocal in recent months about the auto conglomerate’s less-than-stellar current performance, as well as future outlook. He had pinned the blame on Maserati’s slow sales on lousy marketing efforts, and has remarked on the poor quality of the RAM trucks that require repairs after leaving the Sterling Heights assembly line.
Though it is worth highlighting here that Tavares had also been getting flak from more than a few parties for his performance as CEO as well. His outspoken style had often seen him in conflict with counterparts including U.S. unions and the Italian government, which complained about his decisions to reduce auto production in Italy.
