Stellantis, the owner of Jeep and Chrysler, announced a major business reset after overestimating the pace of the energy transition, resulting in a $26 billion (22 billion euros) charge. The company plans to scale back its electric vehicle (EV) ambitions, including significant write-offs and cash payments for canceled EV products and supply chain adjustments. This move follows similar actions by Ford and General Motors, as automakers respond to reduced demand for EVs amid regulatory changes and market conditions. Stellantis expects to report a net loss of 19-21 billion euros in the second half of 2025 and will not pay dividends in 2026. The company’s shares dropped over 28%, reaching their lowest since 2021, with some sources reporting a decline of up to 30%. The charges reflect a strategic shift to focus on customer demand rather than strict regulatory mandates, emphasizing hybrid and internal combustion engine vehicles alongside EVs. CEO Antonio Filosa acknowledged the over-optimism regarding EV demand and highlighted challenges such as quality issues, reduced market share, and the need to realign product plans. The company is also scaling back its EV investments, including selling its stake in a Canadian battery joint venture. Despite the setbacks, Stellantis remains committed to electrification but is adjusting its approach to ensure sustainable growth amidst global market uncertainties.