Stellantis Chief Executive Officer Carlos Tavares says that the company must be very careful with money. This is the idea that will help the company as it starts making electric vehicles. The whole car industry is changing a lot in 2026. There are companies making cars now and people are not always buying them. Also it costs a lot of money to make cars. Carlos Tavares thinks that the company has to be careful, with money so it can still make a profit while it is changing the way it does business. Stellantis has to make vehicles and Carlos Tavares wants to make sure the company does this without spending too much money.
The company Stellantis was formed when PSA Group and Fiat Chrysler Automobiles merged. Since then Tavares has become known for making Stellantis run smoothly and keeping costs under control.
Now that Stellantis is moving towards mobility Tavares thinks it is very important to keep costs low.
Making vehicles or EVs is important for the future of Stellantis but it is also very expensive. This is because batteries are costly and Stellantis relies on companies, for parts.
Tavares has a plan and a big part of it is to make all the platforms work together. What Stellantis is doing is making sure that all the vehicle architectures are the same across all the brands. This helps to make things simpler and save money. If they use the platforms for electric vehicles and share parts across many models Tavares thinks they can save a lot of money on development and making the vehicles. Tavares says this way Stellantis can sell cars to people and, to people who want fancy cars without spending money on the same things twice.
The company is really looking at batteries and the technology behind them. Carlos Tavares thinks that batteries are a deal because they are the most expensive part of making electric vehicles. Stellantis is working with companies to make batteries and looking at different ways to make them. They want to make sure they do not have to pay much for batteries when the price goes up.
Tavares says that people will only buy vehicles if they are affordable. This is especially true in Europe and other places where people are very careful, about how much they spend. Electric vehicles will only become popular if they are cheap enough for people to buy. Stellantis and Tavares are focused on vehicles and batteries.
Tavares says that even though the company wants to save money the quality of the cars and what the brands stand for will not be affected. Stellantis has a lot of brands and each one has its own history and people who buy from them. Tavares thinks it is hard to make sure each brand is different while still using some of the technology. He believes that if the company does things in an organized way it can make this work. Tavares wants the people who buy the cars to feel like each brand is special even though the company is using some of the parts and systems for all of them. Stellantis and Tavares are working to make sure this happens with the Stellantis brands.
The CEO has also talked about how important it’s for the company to be flexible with its operations. The demand for Electric Vehicles has been growing at rates in different areas and this is because of things like government incentives the availability of charging stations and how confident people are in buying them. Tavares has said that Stellantis needs to be ready to change how much they produce and when they invest, based on what’s really happening in the market rather than just following a plan. This way of thinking shows that he believes in making decisions based on what makes sense rather than just following the latest trends. The CEO, Tavares wants Stellantis to focus on Electric Vehicles in a way and that means being flexible and making decisions that are good, for the company.
Cost discipline is not about manufacturing it is also about the way the company operates. Stellantis is working to reduce its costs make procurement more efficient and make the most of its presence around the world. Carlos Tavares has always said that the company should not become too comfortable because old car companies like Stellantis are under a lot of pressure from car companies and also, from new companies that only make electric vehicles and have lower costs. Stellantis has to be careful because these new companies are changing the way the car industry works.
Looking ahead to 2026 and beyond Carlos Tavares is feeling good that Stellantis can handle the switch to vehicles without losing money. He thinks that Stellantis will do well if they can balance trying things with being smart about money. The switch to vehicles is not easy and it costs a lot of money but Carlos Tavares has a plan that will help Stellantis stay competitive and able to change with the times in the car business. Carlos Tavares and Stellantis are working hard to make sure they can keep up with the changes, in the car business.
In an industry undergoing its most profound transformation in decades, Carlos Tavares’s insistence on cost discipline sends a clear message: electrification must be sustainable not only for the planet, but also for the balance sheet.
