Stellantis Faces Pressure to Streamline Brands
With 14 Brands and Mixed Global Performance, the Automaker Considers Its Future Direction
Stellantis is facing a major crossroads as it searches for a new CEO following the departure of Carlos Tavares in December. The automaker, formed from the 2021 merger of Fiat Chrysler Automobiles (FCA) and Peugeot S.p.A., has the largest brand portfolio in the industry with 14 distinct marques. This vast lineup brings both strength and complexity — and now, there’s mounting pressure to determine how many of these brands have a viable future.
According to a recent Reuters article, Stellantis Chairman John Elkann has made it clear that any CEO candidate must come with a clear vision for the company’s brands. Elkann stated, “If a candidate doesn’t have a clear understanding of our brands and a strategy for their future, they are not the right person for this job.”
Stellantis’ global position is a mixed bag. It is the second-largest automaker in Europe, trailing only Volkswagen, but even its best-selling European brand, Peugeot, had only a 4.9% market share in 2023, ranking eighth overall. In the U.S., Stellantis has struggled with declining sales and profit margins despite the strong performance of its Jeep® and Ram brands. Jeep sold 587,725 units in the U.S. in 2024, while Ram followed with 439,039 units. Meanwhile, Chrysler and Dodge remain survivors largely due to their name recognition and loyal customer base, with Chrysler moving 124,683 units and Dodge selling 141,730.
Globally, Fiat and Peugeot each made up 20% of Stellantis’ total sales in 2024, followed by Jeep (15%) and Ram (10%). Chrysler and Dodge each held just 3% of the global market share, but their U.S. presence remains significant. More vulnerable brands include Alfa Romeo, DS, and Lancia, which each hold just 1% of the global market, while Maserati’s share is nearly negligible.
The company’s struggles aren’t limited to North America. Stellantis pulled out of its joint venture with Guangzhou Automobile Group (GAC) three years ago and has no plans to relaunch in China. However, its new partnership with Leapmotor offers some hope for growth in the electric vehicle market outside China, with Leapmotor EVs already appearing in Europe and being tested in Brazil.
There’s also been talk of realigning Stellantis’ North American brands by merging Dodge and Ram back together — a strategy that could simplify operations and strengthen both brands.
As Stellantis continues its CEO search, the future of its 14 brands hangs in the balance. Investors and fans alike are eager to see if the company will streamline its lineup or maintain its broad portfolio. Whatever the decision, it will shape Stellantis’ global strategy for years to come.
Source: Reuters
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