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Jeep Cherokee’s comeback penciled in to pivot around $1.7 billion tariff knockout blow

The CEO of the new auto industry said on Tuesday that Stelantis hoped to face some expected cost of 1.5 billion euros ($ 1.7 billion) by strengthening profitability in North America with new launchs such as the suspended Jeep Cherokee.

The fourth largest car maker in the world was created 4 years before the combination of Fiat Chrysler and Psa Peugeot, holding talks with US officials on how to mitigate the impact of definitions, especially on the cars produced in neighboring Canada and Mexico.

“Using customs tariffs as a tool,” said CEO Antonio Veusa that Stelncis supports US president Donald Trump’s strategy to enhance job creation and US car production.

Felosa, who was confirmed as CEO last month, said he is pushing the presence of a tariff system at the high level of American components used in her cars made in Canada and Mexico.

Of the 16 million cars that produce stellantis for sale in the American market, 8 million are manufactured in local factories, and 4 million in Canada and Mexico – all with a large number of American components. 4 million people are imported from Europe and Asia, with almost no American components.

In the pursuit of the United States, Filosa is restarted in the second half of the previous two -year -old models: the new Jeep Cherokee for the largest -selling American Sector and the famous ice reinforced charger.

Earlier this year, Stelantis also re -launched the RAM Hemi V8 due to the request of the agent and customers, as Filosa called “a fast, smart and effective corrective procedure.”

Jeep Cherokee will be produced in Mexico, and Velosa said they are working to reduce production costs, “so that we can completely compensate for the effect of customs tariffs.”

Stelantis has already absorbed 300 million euros (350 million dollars) of the effect of a 2025 tariff during the first half of the year, as the car maker recorded losses of 2.3 billion euros (about $ 2.7 billion). During this period, US shipments decreased by nearly a quarter of a quarter of cars, as the car maker reduced import vehicles abroad.

Jeep and Kirisler Fiat and Peugeot Company stated that net profits decreased from 5.6 billion euros (6.5 billion dollars) in the same period last year, as it was burned through 3.3 billion euros in cash to cancel the hydrogen fuel cell project, and changes in the accurate system of difference in American carbon emissions.

Stelantis said that he is expected to increase the net revenues during the next six months compared to the first half, when 13 % decreased to 74.3 billion euros (85.7 billion dollars). The car maker also said that the cash flow will improve.

Velosa said that the new executive “will continue to make the difficult decisions necessary to re -grow profitable growth and significantly improve results.”

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2025-07-29 20:45:00

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