Former CEO Of Stellantis Carlos Tavares Predicts Company Threatened To Break Into Three Parts
JAKARTA Former CEO of Stellantis, Carlos Tavares, has raised serious concerns about the future of the multinational auto giant, even predicting potential divisions among its main operations.
In a new book published in France on October 23, Tavares stated that Stellantis operations in France, Italy, and the United States (US) may separate and stand alone if the company fails to satisfy various stakeholders in their respective regions, Bloomberg reported.
Tavares, who led the company since its inception in 2021 until its retirement in December 2024, wrote that he was worried.
"The three-way balance between Italy, France and the US will be broken" inside Stellantis, he said.
He added that the company's survival depended heavily on management and executive staff who paid attention to the unity "every day" amid pressure from various directions.
Stellantis, formed from the merger of Fiat Chrysler Automobiles (FCA) and PSA Group, is a massive conglomerate with 14 brands under its umbrella, including American big names such as Chrysler, Dodge, Jeep, and Ram Trucks, as well as European brands such as Fiat, Maserati, Alfa Romeo, Peugeot, Citro waryan, and Opel.
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During his tenure, Tavares was known for overseeing a number of controversial cost cuts decisions. This policy includes replacing metal parts with plastic in several high-end vehicles, and moving certain brand production operations from countries such as France and Italy to lower-cost countries such as Poland and Morocco. The decision has drawn many opposition, including from dealers in the US.
Tavares' reputation as an outspoken business leader was getting stronger during his tenure. A CNBC report in December 2024 stated that some former and executive Stellantis who are still in office, as well as employees in the US, described it as a selfish leader who would sacrifice his business to extort every last cent. In fact, one individual affiliated with Stellantis likened the pressure to cutting costs to pointing a "shot to the head."
In an interview with Bloomberg in June 2025, Tavares admitted that he could have done many things differently. One of the regrets he mentioned was his failure to get US dealer support for his cost cuts agenda.
"The dealers in the US don't want to support what we are trying to do, and that is my responsibility," concluded Tavares.