Automaker Stellantis books 22.2 billion euro writedowns in H2 2025 in EV pullback

Global automaker Stellantis announced a massive 22.2 billion euro ($26.5 billion) writedown in Milan on Friday, February 6, 2026, as the company drastically scales back its electric vehicle ambitions in response to soft consumer demand and shifting U.S. trade policies. The Italian-French-American group, which owns brands including Fiat, Jeep, and Peugeot, revealed the charges will be booked against its second-half 2025 results. This strategic pivot follows a period of declining sales and a broader industry retreat from battery-powered models, exacerbated by the regulatory environment under the Trump administration. The financial impact of this decision was immediate, with Stellantis shares listed in Milan plunging by 19% in early trading. CEO Antonio Filosa, who recently took over the leadership role, is actively dismantling the aggressive electrification strategy spearheaded by his predecessor, Carlos Tavares. As part of this realignment, the company confirmed it has reached an agreement to sell its 49% stake in a Canadian battery joint venture to its partner, LG Energy Solution, further distancing itself from capital-intensive EV infrastructure. Due to these significant impairment charges, Stellantis expects to report a preliminary net loss of between 19 billion and 21 billion euros for the latter half of 2025. Consequently, the board has announced that the company will not pay a dividend to shareholders this year. To maintain financial stability and preserve its 46 billion euros in liquidity, the automaker plans to issue up to 5 billion euros in non-convertible subordinated perpetual hybrid bonds. A comprehensive new business plan for the group is expected to be unveiled in May 2026.