Stellantis’ Carlos Tavares flexes his muscles in the US

Stellantis’ US operations, increasingly controlled from its Paris headquarters, are in dispute with at least two suppliers, which have been seeking price rises for the component they deliver to key Ram and Jeep production lines. Despite Stellantis’ record financial results in 2023, it has been unwilling to grant suppliers price rises as they battle with their own rising costs. The disputes have reached the law courts—a recent case involving a transmissions gear and pinion producer, the private equity owned MacLean-Fogg, saw a Michigan judge rule in favour of the supplier, much to Stellantis’ ire. MacLean-Fogg had reportedly asked for a price rise of 26%, with Stellantis trying to force MacLean-Fogg to maintain deliveries despite the pricing dispute.