The future of Stellantis is one of the most fascinating developing stories in the auto industry. On December 1, Carlos Tavares abdicated his role as CEO of the automotive conglomerate. Since then, John Elkann has been leading the company’s interim executive committee while searching for a new, permanent boss.

Even before Tavares left Stellantis, there were signs that the company was possibly in trouble. There were reports in 2024 about the automaker considering shuttering some of its poor-performing brands. However, the business later confirmed plans to keep all the marques in business.

What’s Going On At Stellantis?

Elkann and his team are working to repair the company’s relationship with dealers, partners, governments, and workers. Part of the company’s problem is dealing with increased vehicle prices in a world with rising inflation. The company has already met with the executive board of the dealer council in the United States to mend its alliance.

“[Elkann’s] idea was to have a more collegial management during this phase, with increased focus on top executives, their role and their skills, compared to the previous one-man-only style under Tavares,” an unnamed source told Automotive News Europe.

In addition, Stellantis is preparing to meet with the Italian Industry Minister and local unions to negotiate the company’s manufacturing future in that country. With control over brands such as Alfa Romeo, Fiat, Lancia, and Maserati, the automaker is Italy’s primary vehicle producer.

A Willingness To Change Leadership?

Stellantis is already making new leadership tires. Retired Dodge CEO Tim Kuniskis returned to the business as the leader of Ram. He said he came back to lead the truck maker “…because we’re getting our ass kicked. You’ve seen all the numbers, and we’re getting our ass kicked.”

Kuniskis is optimistic about the soon-to-be-updated Ram Heavy Duty pickup. “We have the new product that will put us on the trajectory of where we need to go,” he said.

TopSpeed’s Take

Stellantis is such a significant auto industry player in Europe and the U.S. that it’s hard to imagine the company failing. There might be struggles in the future as the business shuffles the leadership team.

Read the full article here

Share.
Leave A Reply