In brief
In a surprising turn of events, Carlos Tavares, the chief executive of Stellantis, has resigned effective immediately, just months after the company issued a profit warning and announced the potential closure of its Vauxhall factory in Luton, jeopardizing approximately 1,100 jobs. Henri de Castries, Stellantis’ senior independent director, noted in a statement that "in recent weeks different views have emerged," leading to the board's decision. Tavares was well-known as a formidable player in the automotive sector, recognized for his aggressive cost-cutting measures, first with PSA Group and later with Stellantis after its merger with Fiat Chrysler in 2021. His tenure was marked by controversies regarding Vauxhall's future, especially in the context of Brexit and increasing electric vehicle mandates. Recently, the company's performance waned, with a staggering 40% drop in share price this year. Stellantis has initiated the search for Tavares' successor and plans to establish an interim executive committee, helmed by chairperson John Elkann, by mid-next year. The impact of Tavares's exit on the Luton plant's planned closure remains uncertain as the company navigates this transitional phase.
Stellantis CEO Carlos Tavares Resigns Amid Profit ConcernsStellantis, the automotive powerhouse behind brands like Vauxhall and Jeep, experiences a leadership shake-up with Carlos Tavares's sudden resignation.In a surprising turn of events, Carlos Tavares, the chief executive of Stellantis, has resigned effective immediately, just months after the company issued a profit warning and announced the potential closure of its Vauxhall factory in Luton, jeopardizing approximately 1,100 jobs. Henri de Castries, Stellantis’ senior independent director, noted in a statement that "in recent weeks different views have emerged," leading to the board's decision. Tavares was well-known as a formidable player in the automotive sector, recognized for his aggressive cost-cutting measures, first with PSA Group and later with Stellantis after its merger with Fiat Chrysler in 2021. His tenure was marked by controversies regarding Vauxhall's future, especially in the context of Brexit and increasing electric vehicle mandates. Recently, the company's performance waned, with a staggering 40% drop in share price this year. Stellantis has initiated the search for Tavares' successor and plans to establish an interim executive committee, helmed by chairperson John Elkann, by mid-next year. The impact of Tavares's exit on the Luton plant's planned closure remains uncertain as the company navigates this transitional phase.
