Stellantis Group has confirmed that CEO Tang Weishi will retire after his contract expires in early 2026 and announced a series of senior management changes. The current plan is to appoint a successor to Tang Weishi before the fourth quarter of 2025.
In recent months, the huge inventory and sharp decline in profits of Stellantis Group have shocked the industry. Especially in the automotive business, which is a traditional source of profit, both profits and sales have declined in the North American market, forcing Stellantis Group to lower its profit forecast for 2024 and suggesting that it may reduce dividends and stock buybacks next year.
According to the European Automotive News Network, Stellantis Group has confirmed that CEO Carlos Tavares will retire after his contract expires in early 2026 and announced a series of senior management changes. Just a few weeks ago, Stellantis Group stated that although Tang Weishi may remain in office after the contract expires, they are also looking for a suitable successor.
Stellantis Group has stated that it plans to appoint a successor to Tang Weishi before the fourth quarter of 2025. Stellantis Group Chairman John Elkann is leading a special committee to oversee progress in finding a successor to Tang Weishi
As part of the business restructuring, Stellantis Group's Chief Financial Officer, China Chief Operating Officer, Europe Chief Operating Officer, North America Chief Operating Officer, as well as the CEOs of Maserati and Alfa Romeo, will also undergo a major overhaul.
Since 2014, Tang Weishi has been serving as the CEO of PSA Group. In 2021, FCA Group merged with PSA Group to form Stellantis Group, with Tang Weishi becoming the actual "helmsman" of the new company. In the past few years, Tang Weishi once built Stellantis Group into one of the most profitable car manufacturers in the world, known as the "CEO of the most profitable car group".
But in recent months, Stellantis Group's massive inventory and plummeting profits have shocked the industry. Especially in the automotive business, which is a traditional source of profit, both profits and sales have declined in the North American market, forcing Stellantis Group to lower its profit forecast for 2024 and suggesting that it may reduce dividends and stock buybacks next year.
For most of the past 12 months, Stellantis Group has ignored investors' concerns about inventory and discounts in the US market, and lowered its financial forecast at the end of September, causing the company to lose a lot of trust Bernstein analysts stated in a report that "the current business restructuring is only a change on the senior management list and may not be able to calm investors' nerves
Tang Weishi previously insisted that the 14 brands under Stellantis Group, including Maserati, Fiat, Peugeot, and Jeep, are all good investment assets. But in July of this year, Tang Weishi changed his statement that poorly performing brands may be cut to reduce costs.
According to the European Automotive News Network, facing strong competition from Chinese electric vehicle manufacturers, Stellantis Group is pursuing a significant increase in electric vehicle sales, with the goal of having 100% of passenger cars sold in Europe be electric vehicles by 2030; Electric vehicles account for 50% of passenger cars and light trucks sold in the United States. According to the plan, the group will provide 75 electric vehicle models worldwide during this period. (Translated by Jiang Zhiwen, China Economic Net)