Carlos Tavares, the CEO of Stellantis, is stepping down from his role with immediate effect as the company grapples with declining sales. After nearly four years leading the world’s fourth-largest carmaker, Tavares’ departure was confirmed by the automobile giant’s board on Sunday.
Tavares, who had previously headed PSA Peugeot, took the reins of Stellantis in January 2021 following its merger with Fiat Chrysler Automobiles. Despite his efforts, the company’s sales have struggled, particularly in its North American operations, which had been its primary profit center.
The announcement of his resignation comes at a time when the automotive industry is experiencing significant changes, with many companies adjusting strategies to navigate market challenges. Stellantis, known for brands like Jeep and Ram, has been particularly impacted by these shifts.
To ensure continuity, Stellantis has established an interim executive committee led by chairman John Elkann. The company has indicated that the search for a permanent CEO is already underway and progressing well.
The departure of Tavares underscores the difficulties Stellantis faces in maintaining its market position amidst these changes. The task ahead for Elkann and the yet-to-be-appointed permanent CEO will be to address these challenges and steer the company toward recovery.
As Carlos Tavares steps away from his leadership role at Stellantis, the company is poised for a period of transition. With an interim committee in place and a search for a new CEO progressing, Stellantis aims to navigate the current market difficulties and regain its footing in the industry.
Source: Apnews
