Jeep, Ram, Peugeot and Fiat are expected to receive increased investment under Filosa’s plan.
Stellantis is not expected to close brands as part of the May strategy update.
Smaller marques may use shared technology while focusing on regional or national markets.
Stellantis is planning to direct a larger share of future investments toward Jeep, Ram, Peugeot and Fiat as CEO Antonio Filosa works on a new turnaround plan.
Stellantis, formed in 2021 through the merger of Fiat Chrysler Automobiles and PSA Group, owns the largest portfolio of brands among major automakers. Its portfolio includes Citroën, Opel, Alfa Romeo, Lancia, DS, Chrysler, Dodge, Maserati, Abarth and Vauxhall, in addition to those who will be spared making difficult financial decisions.
The strategy, expected to be officially presented in Detroit on May 21, would consist in a notable change in how the automaker allocates capital across its massive 14-brand portfolio. The four identified “saved” brands are projected to become the company’s main global priorities because of their scale, profitability and market reach.
Sources said Filosa does not plan to close brands as part of the new business plan. Instead, lower-volume marques are expected to receive more focused investment tied to specific markets, regions or product segments where they already hold relevance or could gain traction. We wonder where this leaves Chrysler…
These brands could use vehicle platforms, powertrain systems and other technologies developed for the core brands, while retaining separate design, tuning and market positioning. Rebadging models for selected countries, an old trick that still works today, is also under consideration.
The review comes as Stellantis attempts to recover lost ground in the United States and Europe. The company has faced weaker demand, stronger pressure from Chinese automakers in Europe and emerging markets, and a slower-than-expected move toward electric vehicles.
In February, Stellantis booked a €22.2-billion charge as it scaled back earlier electric-vehicle plans. Its market capitalization has also fallen to about €21 billion, leaving it only slightly above Rivian’s valuation and less than half of Volkswagen’s.
Some investors and analysts have argued that Stellantis should eliminate overlapping brands to reduce cost and complexity, especially in Europe. Lancia, DS, Citroën and Opel have been cited by some observers as possible candidates for cuts. In North America, questions about Chrysler’s relevance have circulated for many years.
Stellantis CEO Weighs Future of Struggling Fiat and Alfa Romeo Brands in North America
Filosa’s approach, according to sources, is to avoid near-term closures and instead test whether smaller brands can serve useful roles in selected markets. The plan has support from major investors, including top shareholder Exor. Former CEO Carlos Tavares had rejected the idea of closing brands after the merger. After his departure in December 2024, chairman John Elkann reviewed which marques had durable business prospects.
Stellantis said its brand mix remains a strength, citing its combination of global scale and local roots. The company did not comment directly on the reported reallocation plan.
Source: Reuters
