The name of his successor will be announced during the first half of 2025. “Diverging viewpoints have emerged” within the board of directors.

Carlos Tavares departs from Stellantis: a decision taken amid divergences

Stellantis announced on Sunday, December 1, the “immediate resignation” of its iconic leader, Carlos Tavares. In a statement, the board of directors, chaired by John Elkann, confirmed the acceptance of his resignation from the position of CEO. Tavares’ successor is expected to be appointed during the first half of 2025. Henri de Castries, senior independent director, emphasized that “diverging viewpoints have emerged in recent weeks,” which led to this joint decision between the board and the CEO.

An anticipated succession, despite the initial mandate planned until 2026

The Franco-Italian-American automaker had announced at the end of September that it was initiating a succession process for the CEO position, even though Tavares’ mandate was set to end in early 2026. The company explained that “with just over a year left in a five-year contract signed in January 2021, it is normal for a board to address the matter with anticipation, given the importance of the role, without implying future discussions.”

Significant challenges and a turbulent transition period

Stellantis, which encompasses brands such as Chrysler, Citroën, Fiat, Jeep, Dodge, Lancia, Opel, Peugeot, Ram, and Vauxhall, reported a significant drop in its first-half results, mainly due to an 18% decline in North American sales, a key market for the group. Carlos Tavares himself acknowledged in late July that Stellantis was going through a “very turbulent transition period” and was hoping for a recovery in the second half of the year.

In France, the management had assured at the end of November that no factory closures were planned in the short term. However, the challenging situation in the automotive industry is expected to lead to a reduction in production.