Stellantis CEO Carlos Tavares steps down as carmaker continues struggle with slumping sales

NEW YORK (AP) — Stellantis CEO Carlos Tavares is stepping down after nearly four years in the top spot of the automaker, which owns car brands like Jeep, Citroën and Ram, amid an ongoing struggle with slumping sales.

The world’s fourth-largest carmaker announced that its board accepted Tavares' resignation Sunday, effective immediately.

Stellantis noted Sunday that the process of finding a new, permanent CEO is “well under way.” In the meantime, the company says a new interim executive committee, led by chairman John Elkann, will be established.

As head of PSA Peugeot, Tavares took control of the Netherlands-based company in January 2021 — when it merged with Fiat Chrysler Automobiles, creating an automotive giant that is the parent to several well-known brands today. Beyond Jeep, Citroën and Ram, the company portfolio includes Dodge, Chrysler, Fiat, Peugeot, Maserati and Opel.

Stellantis' North American operations had been the company’s main source of profits for some time, but struggles piled up this year, with the company citing rising competition and larger market changes. As a result of lofty sticker prices and fewer affordable options, many high-priced vehicles have been left unsold on dealers' lots.

For its third quarter, Stellantis posted 27% plunge in net revenues, as gaps in launching new products and action to reduce inventories also slashed global shipments of new vehicles by 20%.

The carmaker reported net revenues of 33 billion euros (nearly $36 billion ) in the three-month period ending Sept. 30, down from 45 billion euros in the same period last year. All regions except South America reported double-digit dips in revenues — led by North America, which plunged 42% to 12.4 billion euros ($13.1 billion).

In recent months, Tavares had come under fire from U.S. dealers and the United Auto Workers union after the release of dismal financial performance reports. He also oversaw cost-cutting efforts that included delaying factory openings and laying off union workers — further straining the company's relations with the UAW, which filed several grievances against Stellantis and threatened to strike in recent months.

The UAW welcomed Tavares' resignation with president Shawn Fain calling the move “a major step in the right direction for a company that has been mismanaged and a workforce that has been mistreated for too long.” He noted that thousands of UAW members had been calling for Tavares' firing for weeks for what Fain called the CEO's “reckless mismanagement of the company.”

“Tavares is leaving behind a mess of painful layoffs and overpriced vehicles sitting on dealership lots,” Fain said in a statement. He added that the union looks forward to sitting down with Stellantis’ new chief executive and “will keep using all means available” to hold the company accountable.

Beyond the U.S., Stellantis has faced pressure in Italy — where lawmakers questioned the former chief executive over the company's production plans in October, with the far-right government accusing the company of relocating assembly plants to low-cost countries. Tens of thousands of autoworkers in the country also held a one-day walkout, calling for more employment certainty and protections.

In efforts to revive sales, Stellantis previously made a number of leadership changes in October, which included naming new heads of operations in North America and Europe. At the time, the company expected Tavares to step down in early 2026, closer to the end of his five-year contract.

The company confirmed in September that it was searching for a CEO to eventually succeed Tavares, but it maintained those efforts were part of standard leadership transition plans.

In a statement Sunday, Stellantis’ senior independent director Henri de Castries said that Stellantis' success is “rooted in a perfect alignment” between shareholders, the company's board and the CEO — but noted “different views” had emerged in recent weeks, resulting in the decision to approve Tavares' resignation.

Elkann, the chairperson of Stellantis' board, thanked Tavares for “his years of dedicated service and the role he has played in the creation of Stellantis” in an additional statement. He added that he looks forward to appointing a new CEO.

Stellantis did not comment further beyond Sunday's release. The announcement arrived shortly after Bloomberg reported Tavares' plans to step down, citing unnamed sources familiar with the matter.

This Oct. 1, 2014 photo shows Jeep and Dodge Ram logos on signs at a dealership in Haverhill, Mass. (AP Photo/Charles Krupa, file)

FILE - CEO Stellantis Carlos Tavares speaks during the Paris Automotive Summit on the sideline of the Paris Auto Show, in Paris, Oct. 15, 2024. (AP Photo/Michel Euler, file)

ALEPPO, Syria (AP) — First responders on Sunday entered a contested neighborhood in Syria’ s northern city of Aleppo after days of deadly clashes between government forces and Kurdish-led forces. Syrian state media said the military was deployed in large numbers.

The clashes broke out Tuesday in the predominantly Kurdish neighborhoods of Sheikh Maqsoud, Achrafieh and Bani Zaid after the government and the Syrian Democratic Forces, the main Kurdish-led force in the country, failed to make progress on how to merge the SDF into the national army. Security forces captured Achrafieh and Bani Zaid.

The fighting between the two sides was the most intense since the fall of then-President Bashar Assad to insurgents in December 2024. At least 23 people were killed in five days of clashes and more than 140,000 were displaced amid shelling and drone strikes.

The U.S.-backed SDF, which have played a key role in combating the Islamic State group in large swaths of eastern Syria, are the largest force yet to be absorbed into Syria's national army. Some of the factions that make up the army, however, were previously Turkish-backed insurgent groups that have a long history of clashing with Kurdish forces.

The Kurdish fighters have now evacuated from the Sheikh Maqsoud neighborhood to northeastern Syria, which is under the control of the SDF. However, they said in a statement they will continue to fight now that the wounded and civilians have been evacuated, in what they called a “partial ceasefire.”

The neighborhood appeared calm Sunday. The United Nations said it was trying to dispatch more convoys to the neighborhoods with food, fuel, blankets and other urgent supplies.

Government security forces brought journalists to tour the devastated area, showing them the damaged Khalid al-Fajer Hospital and a military position belonging to the SDF’s security forces that government forces had targeted.

The SDF statement accused the government of targeting the hospital “dozens of times” before patients were evacuated. Damascus accused the Kurdish-led group of using the hospital and other civilian facilities as military positions.

On one street, Syrian Red Crescent first responders spoke to a resident surrounded by charred cars and badly damaged residential buildings.

Some residents told The Associated Press that SDF forces did not allow their cars through checkpoints to leave.

“We lived a night of horror. I still cannot believe that I am right here standing on my own two feet,” said Ahmad Shaikho. “So far the situation has been calm. There hasn’t been any gunfire.”

Syrian Civil Defense first responders have been disarming improvised mines that they say were left by the Kurdish forces as booby traps.

Residents who fled are not being allowed back into the neighborhood until all the mines are cleared. Some were reminded of the displacement during Syria’s long civil war.

“I want to go back to my home, I beg you,” said Hoda Alnasiri.

Associated Press journalist Kareem Chehayeb in Beirut contributed to this report.

Sandbag barriers used as fighting positions by Kurdish fighters, left inside a destroyed mosque in the Sheikh Maqsoud neighborhood, where clashes between government forces and Kurdish fighters have been taking place in the northern city of Aleppo, Syria, Sunday, Jan. 11, 2026. (AP Photo/Ghaith Alsayed)

Burned vehicles at one of the Kurdish fighters positions at the Sheikh Maqsoud neighborhood, where clashes between government forces and Kurdish fighters have been taking place in the northern city of Aleppo, Syria, Sunday, Jan. 11, 2026. (AP Photo/Ghaith Alsayed)

People flee the Sheikh Maqsoud neighborhood, where clashes between government forces and Kurdish fighters have been taking place in the northern city of Aleppo, Syria, Sunday, Jan. 11, 2026. (AP Photo/Ghaith Alsayed)

A Syrian military police convoy enters the Sheikh Maqsoud neighborhood, where clashes between government forces and Kurdish fighters have been taking place in the northern city of Aleppo, Syria, Sunday, Jan. 11, 2026. (AP Photo/Ghaith Alsayed)

Burned vehicles and ammunitions left at one of the Kurdish fighters positions at the Sheikh Maqsoud neighborhood, where clashes between government forces and Kurdish fighters have been taking place in the northern city of Aleppo, Syria, Sunday, Jan. 11, 2026. (AP Photo/Ghaith Alsayed)