Somebody needs to rescue Stellantis. It’s like the automaker jumped out of the plane with a broken parachute, but the backup cord isn’t working either. This Jeep parent expects to lose $2.7 billion due to new tariffs. 

Stellantis could lose $2.7 billion due to tariffs 

Stellantis fell into a ring of fire. It’s going down, down, down as the flames get higher. The flames are being fanned by new tariffs. 

The tariffs place a 25% import tax on vehicles. Even though a few notable options such as the Jeep Wrangler are built in America, the automaker is still struggling. 

According to ABC News, the auto giant expects to have lost roughly $350 million during the first half of 2025 due to direct tariff payments. Plus, it lost planned production while figuring out the proper response to tariffs. 

But forget that $350 million as Stellantis projects a loss of $2.7 billion during the first half of 2025, which has technically already happened. We’re in month seven, people! 

The financial loss is related to costly efforts to improve profitability and tariff-related expenses. There are compliance charges and suspension of financial penalties related to fuel emission standards as well. 

Tariffs took action on April 2 as the automaker experienced a 25% sales decline during the second quarter of the year. Also, it paused production in Windsor, Canada, and Toluca. Mexico. 

Roughly 800 workers have been laid off in facilities around America, such as in Michigan and Indiana. But there are slight glimmers of hope as the Ram 1500 gains its beloved HEMI engine back and a new gas-powered Jeep Cherokee waits to debut.