Stellantis Announces Carlos Tavares Retirement and Other Leadership Changes
Stellantis yesterday announced a number of significant leadership changes, including the timing of CEO Carlos Tavares’ retirement and the departure of its chief financial officer as it struggles to revive sales in North America.
Chief Financial Officer Natalie Knight will be replaced, after just 18 months in the position, by Doug Ostermann, the company’s chief operating officer in China. In addition to naming Ostermann’s replacement in China, Grégoire Olivier — also Laison Officer to Leapmotor, the Chinese joint venture with Stellantis, the company also appointed a new chief operating officers in North America and in Europe. Jeep CEO Antonio Filosa is adding North American COO responsibilities to replace Carlos Zarlenga, whose next role will be announced later. Jean Philippe Imparato will also assume the title of COO for Europe, with the outgoing COO Uwe Hochgeschurtz leaving Stellantis.
Stellantis announced in September that it was looking for a successor for Tavares, 66, as part of a planned leadership change. Tavares has been under fire from U.S. dealers and the United Auto Workers union after a dismal financial performance this year, caught off guard by too many high-priced vehicles on dealer lots. Tavares has been trying to cut costs by delaying factory openings, laying off union workers and offering buyouts to salaried employees. Tavares’ five-year contract was a little over a year from its expiration date in 2026, but the company said at the time that it was possible he might remain in the job beyond that.
The company said late Thursday that Tavares will step down in early 2026. Tavares, an avid race car driver who was widely heralded in prior years for making Stellantis one of the world’s most profitable automakers, has led the company since its creation through a 2021 merger between Fiat-Chrysler and PSA Groupe, where he had been board chair since 2014. The confirmation of Tavares’ retirement comes weeks after Stellantis said it was searching for his successor, though at the time it said it was possible he could remain after his contract expires in 2026.
Stellantis slashed its earnings forecast last month, saying it needed to make larger investments to turn around its U.S. operations amid a wider industry slump and increased competition from China. It said at the time that it was accelerating efforts to improve operations in North America, bringing dealer inventory levels to no more than 300,000 vehicles by the end of the year, instead of the first quarter of 2025 as previously planned.
Analysts have downgraded the company’s stock, which has tumbled 42% this year after missteps in North America, where sales of popular products such as its Jeep and Ram trucks typically produce much of its profits.
How the Citroën brand will survive within this upheaval in Stellantis remains to be seen.