Jeep, Dodge, Chrysler Fans: Big News from Stellantis!

New Stellantis ( STLA ) Antonio Filosa realized he faced a challenging task when he assumed the position.

Filosa, aged 51, formally assumed leadership from previous CEO Carlos Tavares on June 23, yet he has been part of the organization for 25 years. He recognizes that the global corporation would struggle significantly without the North American market.

Last month, the company stated that Filosa would relocate the CEO's headquarters to Detroit, Michigan, alongside announcing plans to construct a $388 million "Megahub" in Van Buren Township, located near Detroit.

Associated: New Stellantis Chief Executive tackles additional remnants of the company's past issues

However, Stellantis is facing challenges due to the 25% taxes that have remained in effect for several months.

Stellantis delivered 7% fewer cars this year compared to the first half of 2024. However, this drop performed better than the 14% decrease recorded in the latter part of 2024 when Tavares left in October.

Stellantis reports that its "operational costs" increased by 1.6 billion dollars (equivalent to 1.85 billion U.S. dollars), which includes a net amount of 330 million euros (approximately 381 million dollars) related to tariffs.

The firm anticipates its annual rate-related costs will fall within the upper range of its earlier projection, which was between one billion and 1.5 billion euros ($1.15 billion to $1.73 billion).

Regaining the North American market will not be simple, but Filosa specifically identified where he believes the company lost its key market.

The head of Stellantis understands what went wrong for the company in North America.

More than just financial investment within the country will be needed to regain customer trust, and Filosa recognized this truth during the earnings call.

"Undoubtedly, one major underlying reason for our market decline, particularly in North America, but also across Expanded Europe, is that previously we chose to discontinue several key, significant, and well-received brand names," Filosa stated.

Filosa listed seven well-known models that were discontinued during his predecessor's time in charge, such as the Jeep Cherokee, Jeep Renegade, Chrysler 300, Ram DS Classic, Ram ProMaster City, Dodge Charger, and the Challenger.

Associated: Jeep Dodge parent company Stellantis introduces changes that U.S. customers will appreciate

These seven brands accounted for 300,00 units sold annually, yet they have all mysteriously ceased operations in recent years.

Not only will Stellantis revive numerous brands that contributed to making Jeep, Dodge, and Chrysler household names, but the company is also reintroducing the extra features and elements that characterized American muscle cars.

"The powertrain we previously stopped producing, which is making a return beginning with the iconic Hemi V8 engine, had been put aside earlier, and this signifies volume levels as well as profit per unit," Filosa stated.

Stellantis announces underwhelming performance for the first half of the year, with tariffs causing last year's profitability to become a loss

Earlier this year, Stellantis reported Total U.S. sales during the first quarter of 2025 fell by 12% compared to the previous year, even though sales for the Ram brand rose by 16% and Chrysler brand sales increased by 1%. Sales for the Jeep brand also went up by 2%.

The firm recorded overall sales of 293,225 cars during the initial three months of the year. The business situation remained unchanged in the second quarter.

On Tuesday, Stellantis announced that net sales for the first half of the year dropped 13% compared to the previous year, primarily due to continued decreases in North America and Europe.

The firm experienced a net loss of 2.3 billion euros ($2.66 billion), compared to a profit of 5.6 billion euros reported last year.

Stellantis finished trading on Tuesday with a decline of 1.13%, closing at $9.59 per share.

Associated: Jeep's parent company Stellantis considers surprising action for underperforming brand

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