Another Detroit automaker is paying a steep price as it pulls back from electric vehicles.
Stellantis — the global auto giant behind brands like Jeep, Dodge, Ram, and Chrysler — said Friday that it would take a €22 billion ($26 billion) charge tied to a sweeping reset of its electric-vehicle strategy.
It’s the largest in a wave of recent EV-related write-downs by major global automakers, bringing the total in charges across the industry to $55 billion.
In September, Volkswagen recorded a $3.5 billion charge linked to its electric division. Ford followed that up in December with a $19.5 billion charge as it canceled plans to build large EVs. Last month, General Motors announced a $6 billion write-down tied to reduced EV production.
The moves underscore how aggressively some of the world’s biggest automakers are cutting back on electric-vehicle bets.
“The reset we have announced today is part of the decisive process we started in 2025, to once again make our customers and their preferences our guiding star,” Stellantis CEO Antonio Filosa said in a press release. “The charges announced today largely reflect the cost of over-estimating the pace of the energy transition that distanced us from many car buyers’ real-world needs, means, and desires.”
Filosa, who took over as CEO in May 2025, laid much of the blame on decisions made under the company’s prior leadership, citing “poor operational execution” that left Stellantis with expensive EV investments that failed to sell.
His predecessor, Carlos Tavares, departed the company in December 2024.
During Tavares’ tenure, Stellantis spent billions positioning itself for what it believed would be a rapid shift in consumer demand toward electric vehicles. Formed in 2021 through the merger of Fiat Chrysler Automobiles and France’s PSA Group, the company poured money into new factories, battery development partnerships with LG Energy Solution and Samsung SDI, and an ambitious slate of future EV models.
The demand never materialized at the pace executives anticipated. Stellantis’ profit dropped 70% during Tavares’ final year on the job.
Stellantis has been holding costly EV-related assets — factories, platforms, and technology — that are now being written down.
For consumers, that means fewer options. The automaker has canceled or delayed several high-profile electric vehicles, including the Chrysler Airflow, the all-electric Ram 1500, and a planned $25,000 electric Jeep Renegade.
In January, the company also discontinued its fleet of plug-in hybrid vehicles, ending production of the Jeep Wrangler 4xe, Jeep Grand Cherokee 4xe, Chrysler Pacifica Hybrid, and the Dodge Hornet Plug-In.
Looking ahead to 2026, Stellantis’ remaining electric launches include the $65,000 Jeep Recon and an extended-range Ram 1500 REV, which incorporates a gas generator paired with the battery motor.
The company is also reintroducing gas-fed powertrains to its lineup — including the V8 Hemi-powered Ram pickup series and a six-cylinder Dodge Charger.
The reset extends beyond Stellantis’ vehicle lineup. Business Insider recently reported that the company is rolling out a five-day return-to-office order, effective March 30.
Still, investors reacted swiftly to the eleven-figure EV write-down. Stellantis shares plunged 25.5% in early trading Friday, falling to about $7.10 a share roughly an hour after markets opened.
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