Stellantis CEO says auto market split into US and rest of world

Stellantis ↗ 2.27% CEO Antonio Filosa told analysts on Thursday that the global automotive market has fractured into two distinct spheres: the United States and everywhere else.

Speaking at the Jefferies Global Industrials Conference in New York, Filosa described a widening gap between U.S. trade and regulatory policy and the rest of the world, particularly when it comes to how automakers can work with Chinese partners.reuters

"We see clearly the world divided into two things: One is the United States … and then we have the rest of the world," Filosa said.investing+1

Two-Track Strategy

The challenge for Stellantis and its rivals is building vehicles for the U.S. — the company's main profit engine — while navigating a regulatory and consumer environment that looks nothing like Europe or other markets. In the U.S., Stellantis is relying entirely on domestic engineering and development, Filosa said. In other regions, including Europe, the company is partnering with Chinese automakers Leapmotor and Dongfeng to develop vehicles.reuters+1

Filosa emphasized that those Chinese partnerships are not producing models destined for the American market. But other automakers pursuing similar tie-ups have drawn fire from the Trump administration. Officials criticized Ford ↗ 0.65% for a joint venture with China's Geely in Europe, saying it aided the global expansion of Chinese automakers. Ford has said it is adapting to "the new global reality" and using partnerships to become leaner.reuters

Recovery Under Scrutiny

The conference appearance comes as Stellantis continues executing its FaSTLAne 2030 strategic plan, unveiled by Filosa in May. That plan outlined roughly €60 billion in investment and set a target of positive free cash flow by 2027. The company reported Q2 2026 revenues of €43.5 billion, up 13% year over year, with an adjusted operating income margin of 1.8%.cnbc+2

Filosa acknowledged that investors want faster results from the recovery, which follows a bruising period that included a €22 billion annual loss. But he indicated the turnaround would take time as the company works to stabilize market share and restore profitability across regions.italytelegraph

Broader Industry Tensions

The split Filosa described reflects a broader reckoning in the auto industry. U.S. tariffs and political pressure against Chinese partnerships are forcing global automakers to run parallel strategies — one built for Washington's priorities and another for the rest of the world. How long companies can maintain that balancing act remains an open question.