Stellantis is facing a crushing financial blow this year as U.S. import tariffs under President Donald Trump are expected to cost the automaker €1.5 billion ($1.7 billion)—five times what it lost in the first half of 2025 due to those levies.
The maker of Jeep, Chrysler, Fiat, and Peugeot said Tuesday that it suffered a net loss of €2.3 billion ($2.65 billion) in the first six months of the year, a staggering reversal from the €5.6 billion ($6.5 billion) profit recorded in the same period last year.
Revenue also dropped sharply, plunging 13% to €74.3 billion ($85.7 billion), as U.S. vehicle shipments fell by nearly a quarter. That decline followed the company’s decision to drastically reduce imports into the U.S. in a bid to shield itself from Trump’s revived 25% auto tariffs, which now target a wide array of foreign-manufactured vehicles.
Register for Tekedia Mini-MBA edition 19 (Feb 9 – May 2, 2026): big discounts for early bird.
Tekedia AI in Business Masterclass opens registrations.
Join Tekedia Capital Syndicate and co-invest in great global startups.
Register for Tekedia AI Lab: From Technical Design to Deployment (next edition begins Jan 24 2026).
The tariff-related losses alone amounted to €300 million ($346 million) in just the first six months of 2025, and Stellantis now projects the full-year damage will reach €1.5 billion. The company made clear that this level of financial exposure is unsustainable, even as it scrambles to adapt.
The blow comes as Stellantis contends with a slew of internal setbacks. It burned through €3.3 billion ($3.8 billion) in cash, driven by the abrupt cancellation of a hydrogen fuel cell project, compliance costs stemming from a revised U.S. carbon emissions penalty system, and significant write-downs on past platform investments, many of which are now being abandoned as part of the company’s restructuring.
The firm’s new CEO, Antonio Filosa, who took over in June, is leading the turnaround. In a statement on Tuesday, he acknowledged the depth of the crisis but insisted the company still has the strength and discipline to correct course.
“My first weeks as CEO have reconfirmed my strong conviction that we will fix what’s wrong with Stellantis,” Filosa said. “The new executive team will continue to make the tough decisions needed to re-establish profitable growth and significantly improve results.”
Filosa inherits a company that, even before the tariffs, was under pressure to simplify its global operations and reduce reliance on low-margin models. However, the new tariff burden—coming amid Trump’s broader protectionist push—has raised the stakes dramatically. Stellantis’s traditional strength in North America has now been severely undermined, with revenue in the region down by over 25%. For the first time in years, its European operations generated more income than its U.S. business.
Despite the turmoil, Stellantis has reissued a full-year forecast, saying it expects revenue and cash flow to improve in the second half of the year. Management is now targeting a return to positive cash generation and operating profit margins in the low single digits by year-end.
Still, the road ahead is far from smooth. Trump’s tariff escalation has forced automakers across the globe to rethink their U.S. strategies, but Stellantis appears to be among the hardest hit. Its global footprint, once an advantage, now exposes it to the highest costs in a market increasingly tilted toward domestic production.
This means 2025 is proving to be a year of reckoning—not just financially, but structurally for Stellantis. The company is being forced to dismantle parts of its long-held strategy while absorbing a multi-billion-euro blow in the process. And unless the trade environment changes, even the toughest internal decisions may not be enough to shield it from further losses.