Global automotive manufacturer Stellantis has announced the suspension of its full-year financial guidance for 2025, citing ongoing uncertainties linked to US trade policy and potential tariff impacts.
The decision reflects the company’s concerns over the evolving trade environment, especially following recent policy shifts under US President Donald Trump.
The announcement came as Stellantis reported first-quarter net revenues of €35.8 billion, a 14% decrease compared to the same period last year. The decline was attributed to lower shipment volumes, an unfavorable regional sales mix, and price normalization. Consolidated shipments fell 9% to 1.217 million units, mainly due to reduced production in North America and weaker light commercial vehicle sales in Europe.
Despite missing the previous year’s revenue levels, the results slightly surpassed analysts’ expectations of €35.4 billion, according to a Reuters poll. Stellantis noted signs of commercial recovery, including improved retail order volumes in the US and increased market share in Europe.
“While Q1 2025 top-line results were below prior-year levels, other KPIs reflect early, initial progress on our commercial recovery efforts,” said Doug Ostermann, Stellantis’ Chief Financial Officer.
He pointed to retail sales gains for Jeep and Ram models in the US, and strengthening market positions in regions such as South America and Europe.
The company emphasized that it remains “highly engaged” with policymakers to navigate the tariff landscape, while actively adjusting production and exploring supply chain alternatives to mitigate potential fallout.
The move to suspend financial guidance follows a recent executive order from President Trump, which eased some previously imposed auto tariffs but retained 25% duties on imported vehicles. The order also maintained new 25% tariffs on auto parts set to begin in May, though partial reimbursements will be available for US-assembled vehicles for a limited time.
Shares of Stellantis rose nearly 3% in early trading in Milan following the earnings announcement, though the stock remains down roughly 32% year-to-date.
Beyond tariffs, Stellantis continues to invest in innovation. In Q1, it introduced STLA AutoDrive 1.0, an SAE Level 3 hands-free driving system, and deepened its AI collaboration with Mistral to enhance in-car experiences. Several new vehicle launches, including the Fiat Grande Panda and Citroën C3 Aircross, also contributed to regional sales gains.
The company’s board approved a dividend of €0.68 per share, set to be distributed on May 5. Meanwhile, the search for a permanent CEO remains underway and is expected to conclude in the first half of the year.
(€1 = $1.14)
CNBC and Stellantis contributed to this report.
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