Stellantis begins search for successor to CEO Carlos Tavares by Reuters

(Reuters) – Stellantis said on Monday it had begun a search for a candidate to succeed CEO Carlos Tavares, whose contract is due to expire in 2026.

However, the automaker added that there is still a possibility that Tavares could stay longer.

Tavares has been under pressure to right the automaker’s struggling North American operations, with record sales and profit declines that have sent the company’s stock price tumbling.

Tavares, who is an avid race car driver, was named top boss in 2021 and has served at several automakers including Renault (EPA: ), PSA and Nissan (OTC: ).

The North American operations of Chrysler parent Stellantis (NYSE: ) have struggled and drawn criticism from consumers and employees who said the company was not doing enough to boost demand.

The automaker is trying to strengthen its position in North America by reducing its bloated inventories and reducing vehicle prices, group chief financial officer Natalie Knight said at a BofA Securities virtual conference call earlier Monday.

Bloomberg News first reported on the CEO search earlier Monday.