Stellantis N.V . ’s new Chief Executive Carlos Tavares outlined his vision for the newly combined auto maker Tuesday, saying he would preserve factories, draw more distinctions between brands and reassess troubled operations in China.
Shares of the new auto-making company, created through the merger of Fiat Chrysler Automobiles NV and Peugeot -maker PSA Group over the weekend, began trading in New York on Tuesday morning, following its debut on the Paris and Milan stock exchanges on Monday.
Mr. Tavares, the former PSA chief now leading Stellantis, emphasized the company would use the group’s combined heft, selling vehicles under 14 brands and in 130 countries, to generate $6 billion in annual savings—achieving about 80% of the cost cuts by the end of 2024.
In all, he said his plan for the new company, which includes Jeep, Ram, Citroën and Peugeot among its brands, aims to deliver about $30 billion in shareholder value over the first four years.
He reiterated Stellantis wouldn’t close factories or nix brands as a result of the merger, working instead to lower costs by combining the underlying engineering and creating more pricing power within the lineups—a tactic he had taken with Opel after purchasing it from General Motors Co. several years ago.
