Additional Coverage:
Stellantis, the parent company of Jeep and Ram, is reportedly seeking a new CEO to replace Carlos Tavares.
Tavares has faced criticism from US dealers and the United Auto Workers union due to the company’s poor financial performance. Stellantis has stated that the search is part of a normal succession plan, but experts believe it could indicate Tavares’ departure.
Stellantis has been struggling this year, with its North American operations facing challenges. The company has delayed factory openings, laid off workers, and offered buyouts in an effort to cut costs.
Dealers have called for discounts to reduce inventory, while the union has threatened to strike over delays in reopening a factory and building an electric vehicle battery plant.
Stellantis claims it intends to meet its commitments but needs delays due to slowing sales. The company is working to reduce inventory and improve its financial performance.