Stellantis Plunges to $2.7 Billion First-Half Loss Amid Tariff Impact and Sales Slump
Stellantis Plunges to $2.7 Billion First-Half Loss Amid Tariff Impact and Sales Slump
Automotive giant Stellantis NV has reported a preliminary loss of $2.7 billion (€2.3 billion) for the first half of 2025, attributing the significant deficit primarily to the biting impact of U.S. tariffs and persistently sluggish global sales. The early figures, released yesterday ahead of a full earnings report due July 29, paint a challenging picture for the transatlantic parent company of brands like Jeep, Ram, and Fiat.
Chief Financial Officer Doug Ostermann stated during a Monday conference call that the first-half results were “far below our potential,” with tariffs alone costing the company approximately $385 million (€330 million) in the period. The preliminary report also revealed $3.8 billion (€3.3 billion) in pre-tax charges related to program cancellations, including a high-profile hydrogen fuel cell project, and restructuring costs.
The loss underscores a difficult period for Stellantis, following a dismal 2024 that saw the departure of former CEO Carlos Tavares. New CEO Antonio Filosa, who took the helm last month, acknowledged the tough half, citing increasing external headwinds like tariffs and challenging macro-economic conditions in a Monday note to employees. Despite the setbacks, he expressed optimism about the company’s direction, noting “meaningful progress compared to the second half of 2024.”
Global vehicle shipments for Stellantis fell 6% in the second quarter, with North American shipments plummeting 25% due to tariff disruptions and reduced fleet sales. While U.S. sales declined 10% in Q2, the highly profitable Jeep and Ram brands managed to eke out gains. Filosa highlighted strategic moves, including new European launches and the revival of models like the Jeep Cherokee and Ram 1500 Hemi V-8 in the U.S., as key to driving improvement in the second half of 2025. Stellantis shares in New York saw a slight increase on Monday following the announcement.
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