Stellantis announces important losses, under the effect of customs tariffs

The difficult pass is confirmed for the automotive giant Stellantis, which has nearly 8,850 employees in Canada: a long time one of the most profitable European manufacturers, it announced a heavy loss on the first half of Monday. He was penalized by the decline in sales, higher production costs and customs duties in the United States.

The manufacturer figures its net loss at 2.3 billion euros (3.68 billion Canadian dollars) in the first half of 2025, according to preliminary results, not yet audited. The company holds 15 brands – including Peugeot, Fiat, Chrysler, Jeep – and two large factories in Windsor and Brampton in Ontario,

In the first half of 2024, the Franco-Italian-American group had a net profit of 5.6 billion euros, already down sharply compared to the record level of 2023.

During the first six months of the year, Stellantis achieved a turnover of 74.3 billion euros (118.73 billion Canadian dollars) which represents, according to the group’s press release, a decline of 12.5 % compared to the same period of 2024.

Stellantis quotes among others Temporary production stops carried out at the beginning of the quarter in response to new customs tariffs in North America et The transition of the product product in extended Europe, where several important models are either in the rise in cadence after their recent launchesas reason.

Negative announcements were widely expectedwith regard to the evolution of sales and the arrival of a new boss likely to clean up (thus bringing new provisions, restructuring)indicate in a note the analysts of the financial group Oddo BHF.

Italian Antonio Filosa took the head of Stellantis at the end of June, six months after the departure of Carlos Tavares.

Down action

This morning, Stellantis’ action fell 2.30 % in a 0.26 % withdrawal market. From the 1st^is January, the group’s action saw its value melted by more than 38 %.

The manufacturer explains that higher industrial production costs have weighed on its profitability and that measures taken to improve performance and profitability have not yet produced their effects.

He adds having counted About 3.3 billion euros ($ 5.27 billion Canadian dollars) of net charges before taxesin particular asset depreciation related to the cancellation of certain programs.

These levels correspond to consensusnote the analysts of Oddo BHF, but the rout is more marked in North America, with 322,000 vehicles invoiced (down 25 % in the second quarter), Against 367,000 expectedwhen Europe correspond expectations and emerging markets make sparks.

In the United States, manufacturers have faced customs duties on cars made outside the country, subject to a surcharge of 25 % since early April (15 % for Mexico).

$ 480 million charged to customs prices

Stellantis is 300 million euros ($ 480 million Canadian dollars) Net customs duties incurred in this context.

Last week, the new management of Stellantis announced put an end to its development program in the field of hydrogen – a fatal signal for hydrogen in transport -, explaining not to see any Perspectives of economic profitability in the medium term on this market.

On April 30, Stellantis had suspended his financial forecasts due to the uncertainty created by the taxation of American customs duties.

Final half -yearly results will be published as expected On July 29, specifies the group, which explains that it has published this preliminary financial data for correct the gap between analysts’ consensus forecasts and the company’s performance for the period.

Since last year, Stellantis has suffered from its difficulties on the American market, which had long drawn its profitability, and from the normalisation Vehicle prices after the summits affected because of the COVVI-19 pandemic and the shortages of electronic parts.

On the French new car market, slowed down for over a year, the Franco-Italian-American group was overtaken by Renault in the first half.

These results at half mast do not immediately modify the situation for the two factories of Windsor and Brampton, according to a press release from the company released by Louann Gosselin, director of communications, in Radio-Canada: The company temporarily interrupts work on the new generation jeep compass, including activities at the Brampton assembly plant. This decision does not change the investment plans already announced for Brampton.

With agency information France-Presse