Stellantis reports €2.3bn loss from U.S. tariffs, restructuring costs

Global automotive giant Stellantis has projected a €2.3 billion ($2.7 billion) net loss for the first half of 2025, citing the financial strain of restructuring costs and the early impact of U.S. import tariffs.

The carmaker, which owns prominent brands such as Fiat, Peugeot, Chrysler, and Jeep, revealed on Monday that tariffs introduced by the U.S. under President Donald Trump’s administration cost the company approximately €300 million. The financial blow stemmed from reduced shipments and subsequent production cuts as Stellantis adjusted its operations to accommodate the new trade barriers.

Shipments in North America, encompassing deliveries to dealers, distributors, retail, and fleet customers dropped by 25% year-on-year in the second quarter of 2025.

The company’s preliminary figures paint a stark contrast to its €5.6 billion net profit in the same period last year. This financial downturn underscores the steep challenge ahead for newly appointed CEO Antonio Filosa, who took the reins in May following the dismissal of former chief Carlos Tavares after poor financial results earlier in the year.

In early trading Monday, Stellantis shares slid by 2%, underperforming Milan’s broader market index (.FTMIB), which dipped by 0.6%. The automaker’s stock has plunged by 37% since the beginning of the year.

Stellantis had previously stated that over 40% of the 1.2 million vehicles it sold in the U.S. last year were imported, primarily from Mexico and Canada. In April, the company disclosed it had cut down on vehicle imports to cushion the tariff impact and would recalibrate production and employment accordingly.

Additionally, the group booked €3.3 billion in pre-tax charges in the first half, linked to program cancellations including a decision to scrap its hydrogen propulsion development project and adjustments to its manufacturing platforms as it pivots toward hybrid vehicle demand.

The carmaker also flagged costs related to compliance with updated U.S. emissions regulations. In June, American regulators finalized new Corporate Average Fuel Economy (CAFE) standards, prompting further realignment.

In a rare move, Stellantis opted to release unaudited preliminary financial data, citing a need to help analysts align their forecasts with the company’s actual performance. The automaker had earlier suspended its full-year guidance due to market uncertainties.

First-half revenue stood at €74.3 billion, down from €85 billion a year earlier, though slightly up from €71.8 billion recorded in the second half of 2024.

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