Carlos Tavares, the former CEO of Stellantis, made headlines with his sudden resignation in early December, leaving the automotive industry in shock. Now, he is speaking out to share his perspective on the events that led to his exit.
In an exclusive interview with the Portuguese newspaper Expresso, Tavares described his departure as “amicable,” explaining that it was primarily due to disagreements with Stellantis’ board regarding the company’s strategic direction. While the specifics of these disagreements remain unclear, Tavares emphasized that his decision to step down was made jointly with Chairman John Elkann.
Despite Tavares claiming that his exit was “amicable,” he has faced increasing scrutiny in the months leading up to his resignation. His leadership faced mounting internal and external criticism, particularly for his aggressive cost-cutting measures and the short-term focus that many believed harmed Stellantis’ long-term prospects. Some board members reportedly viewed Tavares’ targets as unrealistic.
In addition, Tavares’ relationships with suppliers, dealers, and unions had become more strained over time. His combative leadership approach and emphasis on cost-cutting—without weighing the long-term consequences—caused concern among the board, leaving them feeling uneasy and distanced.
Despite the tension, Tavares maintained that the goal was always to protect the company from potential misalignment, particularly given Stellantis’ scale — employing over 250,000 people and generating nearly $199.26 in revenue.
Amid Tavares’ departure, Chairman Elkann has assumed control of the company and will lead an interim committee to guide Stellantis through this uncertain period. The company is now focused on finding a permanent successor who can steer it through the challenges ahead. While Tavares’ resignation marks the end of an era, the future direction of Stellantis remains uncertain as it navigates the rocky road ahead.
