Stellantis Grapples with $1.7B Tariff Blow as New CEO Strategizes US Revival
Automobile heavyweight, Stellantis, has disclosed that it is bracing for a colossal $1.7 billion blow from U.S. tariffs in 2025. The company has already shouldered a $350 million burden in the first half of the year. Stellantis, the world’s fourth-largest car manufacturer, is the proud owner of Jeep, Chrysler, Fiat, and Peugeot brands.
The company reported a net loss of $2.65 billion for the first half of 2025, a stark contrast to the $6.5 billion profit it enjoyed during the same period the previous year.
Newly appointed CEO, Antonio Filosa, who officially assumed his position last month, has unveiled plans to offset tariff costs. His strategy involves enhancing North American profitability via the launch of new models. These include the reintroduction of the previously discontinued Jeep Cherokee and the crowd-favorite ICE Dodge Charger in the latter half of 2025.
Stellantis has already made the tough decision to lay off 900 employees across U.S. facilities. It has also temporarily halted production at plants in Canada and Mexico due to the tariff impact.
Filosa has expressed his endorsement for President Trump’s strategy to bolster U.S. auto production, which involves using tariffs as a tool. He is also committed to collaborating with officials to alleviate impacts on vehicles with a high U.S. component content.
With U.S. shipments down nearly 25% and revenues plummeting 13% to $85.7 billion, Stellantis anticipates that the majority of the $1.7 billion tariff hit will materialize in the second half of 2025.
Source: https://www.cbsnews.com/news/stellantis-earnings-tariffs/