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Stellantis (NYSE: STLA) chairman John Elkann is evaluating CEO candidates, with a key focus on the future of its 14 brands. Formed in 2021 through the merger of Fiat-Chrysler and Peugeot owner PSA, the company’s sprawling portfolio may face consolidation to streamline operations.
While Jeep, Ram, and Peugeot lead sales, weaker brands like DS, Lancia, and Alfa Romeo face uncertainty. Stellantis, the world’s fourth-largest automaker, struggles in Europe and has retreated from China, raising questions about its brand strategy. Former CEO Carlos Tavares insisted all brands had a future, but his abrupt departure in December has prompted a reassessment.
Analysts see premium brands like Alfa Romeo, DS, and Lancia as potential cuts. Despite weak U.S. sales, Dodge and Chrysler are expected to survive due to brand recognition. Jeep, Stellantis’ top-seller, made up 15% of global sales in 2024, while Chrysler and Dodge accounted for 3% each. Some experts suggest merging Chrysler with Jeep and Ram with Dodge, but cost savings may be minimal.
Stellantis also faces mounting challenges in Europe, where slow electrification and stricter emissions rules threaten its market position. While Fiat remains strong in emerging markets, overlapping brands like Peugeot and Opel could see restructuring. Alfa Romeo, with just 0.3% market share in 2024, may become a niche sports brand.
With plans to launch 20 new EV and hybrid models, Stellantis is also leveraging its Leapmotor JV for global EV expansion. Industry experts believe a brand shake-up is inevitable, positioning Stellantis for a leaner, more competitive future.
