Yardbird
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Stellantis Shifts Strategy Under New Leadership
Story by Michael Accardi2 min read
Stellantis is undergoing significant strategic changes following the abrupt resignation of CEO Carlos Tavares on December 1.
According to a report from Reuters, Chairman John Elkann is steering the automaker through this transition, focusing on repairing strained relationships with dealers, governments, and industry partners. The committee approach was favored in order to help rebuild trust and confidence among top brand executives, allowing their input and local knowledge to help shape strategy decisions.
The U.S. market, critical for Stellantis' profitability, has been a key focus. To counter slipping sales for its flagship Ram brand-down 24% year-to-date-Stellantis brought back Tim Kuniskis to lead the division. Additionally, Antonio Filosa, newly appointed Chief of North American Operations, has been tasked with improving dealer relations and addressing market-specific needs.
Subtle strategic shifts are happening in Europe as well. Stellantis has rejoined the auto industry lobbying group ACEA after a year-long absence initiated by Tavares. Rejoining ACEA better aligns the company with broader industry efforts to address emissions regulations and advocate for leniency on intermediate targets.
In Italy, Stellantis is negotiating with unions and government officials to secure support for its electrification efforts. The automaker is expected to pledge expanded production and job security in exchange for incentives that could ease the transition to electric vehicle manufacturing.
Since Tavares' resignation, Stellantis shares have rebounded by 18%-after having fallen more than 40% since the beginning of the year-a damning postmortem on Tavares's tenure at the helm