Turbulence in Automaker Leadership: Stellantis CEO Resigns Amid Sales Struggles

Carlos Tavares, CEO of Stellantis, resigned unexpectedly following a profit warning. The company's value plummeted by 40% this year, amid falling North American sales and excessive inventory. A new CEO search is underway, while John Elkann leads an interim committee to steer the automaker forward.

Carlos Tavares, the Chief Executive Officer of Stellantis, announced his abrupt resignation on Sunday, catching many by surprise. This development follows the company's profit warning, resulting in a 40% stock value decline this year.

The automaker, which owns brands such as Jeep, Fiat, and Peugeot, has faced substantial challenges including weak sales in its North American market. An interim executive committee, chaired by Chairman John Elkann, has been appointed to oversee operations during the transition period.

The search for a new CEO is set to conclude in the first half of 2025, while stakeholders express hope for fresh strategies to revive Stellantis' fortunes. Dealers have voiced concerns about mounting inventories, as competition remains stiff from U.S. counterparts like Ford and GM.

(With inputs from agencies.)