Stellantis, the automotive company behind brands such as Jeep and Chrysler, has announced significant leadership changes in a bid to boost sales, particularly in North America. The company revealed that CEO Carlos Tavares is set to retire, alongside the departure of chief financial officer Natalie Knight. Tavares will step down in early 2026, marking the end of his tenure amid challenges faced by the company in the region.
Doug Ostermann, currently the chief operating officer in China, will succeed Knight as the new chief financial officer. Stellantis has also appointed a new chief operating officer for its operations in Europe. The move comes as the company grapples with a tough financial year, prompting the need for strategic leadership adjustments to navigate the competitive automotive landscape.
Stellantis, the world’s fourth largest automaker formed in 2021 through the merger of PSA Peugeot and Fiat Chrysler Automobiles, had previously announced its intention to find a replacement for Tavares. The company’s board has initiated the formal process of identifying a successor, with plans to finalise the selection by the fourth quarter of 2025.
The decision to make these leadership changes follows a series of financial setbacks for Stellantis, including a downward revision of its earnings forecast. The company has outlined a strategy to streamline its North American operations, aiming to reduce dealer inventory levels by the end of the year. This accelerated effort is part of a broader initiative to enhance performance and address the evolving market demands.
Despite the restructuring efforts, Stellantis shares experienced a decline of over 3% before the market opened following the leadership announcements. The company remains focused on navigating the challenges ahead and positioning itself for long-term growth and sustainability in the global automotive industry.