Vauxhall Owner Stellantis Reports €22 Billion Loss

Stellantis, the parent company of Vauxhall, has announced a staggering loss of €22 billion, attributing this downturn to misjudgements regarding the electrified vehicle market and intense price competition. The company’s revenues for 2025 decreased by 2 per cent to €153 billion, despite an 11 per cent increase in vehicle shipments, totalling 5.5 million units.

Significantly, Stellantis reported a cash burn of €4.5 billion over the year. This financial setback follows €25 billion in write-offs related to abandoned electric vehicle projects, provisions for future losses on underperforming models, and costs associated with workforce redundancies. Ultimately, these figures underscore the challenges facing the company as it navigates a complex automotive landscape.

The formation of Stellantis was driven by the merger of Peugeot and Citroen of France, Fiat of Italy, and Chrysler, a key historical player in the US automotive sector. The addition of Vauxhall, previously a prominent brand in the UK market, has further complicated the financial picture, with the brand’s sales in Britain falling to just over 80,000 units last year, representing a mere 4 per cent market share.

Antonio Filosa, the chief executive of Stellantis, stated that the results for 2025 reflect the costs associated with over-estimating the pace of the energy transition, necessitating a strategic reset to meet diverse customer demands. In the latter half of the year, the company reported a 10 per cent increase in revenues, although operational profitability remained elusive.

Under Filosa’s leadership, Stellantis has made the decision to reintroduce certain diesel models while simultaneously scaling back its plans for expansion in the electric vehicle sector. A recent statement from the company highlighted these one-off charges, which were primarily a response to shifting customer preferences and regulatory changes.

The previously robust demand for electrified vehicles appears to be waning, compounded by the recent withdrawal of state support for zero-emission vehicle purchases in the United States. As a result, Stellantis’s once substantial presence in the UK market has diminished, now focusing on low-volume production of small electric vans at the Ellesmere Port facility in Cheshire.