Faster than expected
Head of car maker Stellantis unexpectedly resigns
Updated on December 2nd, 2024Reading time: 1 min.
Stellantis had already announced in October that it was looking for a new boss. The resignation of the incumbent chairman is now coming sooner than expected.
The car manufacturer Stellantis, which is suffering from problems in the important US market and a weak industry situation, has to look for a new boss sooner than expected. The board of directors has accepted the resignation of Carlos Tavares, the multi-brand group (including Opel, Peugeot, Citroën, Fiat, Chrysler, Jeep, Alfa Romeo) announced on Sunday evening.
The Volkswagen rival had already announced in October that the search was underway for a successor for Tavares, as he would not be extending his contract, which expires in 2026. A new boss should now be found in the first half of 2025, it said. Until then, a management committee will be formed under Chairman of the Board of Directors John Elkann.
Tavares led Stellantis' formation into an auto giant through the mega merger of PSA and Fiat Chrysler in 2021. At the end of October, Stellantis said that due to weak demand, sales in the third quarter had fallen by around 27 percent to 33 billion euros within a year. In the North American market, the carmaker usually makes the lion's share of its profits from large SUVs and pickup trucks.
However, there are currently too many unsold cars in dealers' yards, which reduces sales revenue. And the situation on the car markets in other countries is also generally bleak. The company confirmed its lowered annual outlook this Sunday.
