Stellantis CEO Carlos Tavares Resigns Amid Criticism

Carlos Tavares has resigned as CEO of Stellantis following extensive criticism of his leadership style and strategies, which prioritized cost-cutting and profit margins over employee morale and market alignment. Insiders described Tavares as 'arrogant' and fixated on short-term gains, leading to poor decisions such as discontinuing popular gas-powered models without adequate replacements and alienating U.S. executives. His 'Dare Forward 2030' plan aimed at achieving double-digit profit margins and increasing electric vehicle production faced backlash for failing to resonate with American consumers. Relationships with suppliers, unions, and dealers suffered due to aggressive cost-reduction measures, and U.S. sales saw a significant decline, dropping 17% year-over-year. Tavares' leadership was also marked by a lack of support for new products and mismanagement in North America, contributing to a 43% plunge in Stellantis' shares in 2024. His departure comes amidst ongoing tensions from a recent UAW strike and broader market challenges.