The global automaker, whose brands also include Ram trucks, Opel and Dodge, said that despite 14% drop in first quarter (Q1) revenue to €35.8 billion (US$40.7 billion), it saw signs of a commercial turnaround.

Nevertheless, Stellantis said it was “suspending its 2025 financial guidance…due to evolving tariff policies, as well as the difficulty predicting possible impacts on market volumes and the competitive landscape”.

Much of the drop in revenues was due to a reduction in shipments, which fell 9% to 1.22 million vehicles, due in part to lower production volumes in North America, where factories were given extended holiday downtime.

Stellantis suffered a stinging 12% drop in the number of vehicles it sold last year, with its key North American market plunging by a quarter, as it struggled to sell a bulge in inventory in the US.

Shipments fell by 20% in North America in Q1, with revenues down by a quarter.

However, CFO Doug Ostermann said the company sees signs of a turnaround.

“While Q1 2025 top-line results were below prior-year levels, other key performance indicators reflect early, initial progress on our commercial recovery efforts,” he said in a statement.

That included a jump in orders in North America before tariffs came into place, as well improvements in Europe.

The company said it “is highly engaged with policymakers on tariff policies, while taking action to reduce impacts”.