Carlos Tavares, the chief executive of Stellantis, has resigned from his position, the company announced on Sunday. Stellantis, the maker of Jeep, Fiat, and Peugeot cars, stated that it aims to find a new leader in the first half of next year. Tavares, previously regarded as a respected executive in the auto industry, faced criticism after a profit warning earlier this year due to slow sales and bloating inventories in the North American market.
The company’s board of directors accepted Tavares’ resignation with immediate effect and is in the process of appointing a new permanent chief executive. An interim executive committee, led by board chairman John Elkann, will manage the company in the meantime. Tavares had been expected to retire in early 2026.
Stellantis, the world’s fourth-largest carmaker by sales, was created through the merger of Fiat Chrysler and Peugeot owner PSA in 2021. The company’s top investor is the Agnelli family through investment company Exor, with Elkann serving as chief executive of Exor.
In addition to Tavares’ resignation, last week Stellantis announced plans to close its Vauxhall van factory in Luton, potentially affecting 1,100 jobs. The company’s share value has declined by about 40% this year. Despite the setbacks, Stellantis is focused on finding a new leader and moving forward in the competitive automotive industry.
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