Automaker Stellantis has announced the resignation of its CEO, Carlos Tavares, effective immediately. The decision, described by board member Henri de Castries as stemming from “differences in viewpoints” between the executive and the board, leaves the company without a clear successor.
Tavares, widely regarded as one of the most respected leaders in the automotive industry, issued a profit warning in September concerning Stellantis’ 2024 financial results, citing declining sales. Shortly thereafter, the company revealed that Tavares would not seek a new term as CEO, with plans to retire at the end of his current tenure in early 2026. However, this timeline was cut short.
Tavares has been at the helm of Stellantis since its formation in early 2021, following the merger of Fiat Chrysler and PSA Group, the parent company of Peugeot. During his leadership, Stellantis shares have fallen by approximately 40% in value this year. Known for his outspoken approach, Tavares frequently clashed with various stakeholders, including U.S. labor unions and the Italian government. Italy criticized his decisions to reduce automotive production in the country. Stellantis has initiated the search for a new CEO, a process it expects to conclude in the first half of 2025. Until then, the company will establish an interim committee to oversee leadership.