One in five auto CEOs have resigned over the past 12 months as the industry struggles to fight for geopolitical turmoil and increased competition due to a shortage of leaders.
CEO changes occurred in Stellantis, Volvo Cars, Lucid and Nissan, with the Chiefs having 11 positions in the top 50 auto companies in less than a year, according to administrative search firm Savannah.
Globally, over the past five years, the average annual stirring rate of CEOs of listed companies in all sectors has been in the nine-nine per year.
Automotive executives say the blurring of lines between the automotive and technology industries has become complicated as the industry turns to electric vehicles. The pressure from President Donald Trump’s trade war, the decline in profitability and the influx of cheap Chinese brands have also added complex backgrounds.
"If you look at the global automotive industry's leadership turnover, this gives you some idea of the level of volatility and disruption across the industry right now," said Chris Donkin, managing partner at Savannah.
According to headhunter Russell Reynolds, 10 CEOs left automakers and auto parts suppliers last year, compared with 2023 to 2022, with three.
Carlos Tavares' challenge to identify a successor was particularly evident in Stelantis after sales declined in December.
The owner of the Peugeot, Fiat and Jeep brand announced Wednesday that its North American boss Antonio Filosa served as CEO, ending a six-month search.
The board, led by Chairman John Elkann, initially tended to look for an external candidate to bring a new perspective, and the search narrowed to five competitors in March - two internal, two external and one non-automatic movement.
Those who discussed with the board include Mike Manley, former Jeep boss and CEO of Autonation. Manley did not respond to a request for comment.
However, in recent weeks, the focus has shifted to its two internal candidates - Filosa and Maxime Picat, chief procurement officer.
One close to the discussion said the uncertainty of tariffs and geopolitical tensions have heightened the need to find an executive who knows the company thoroughly.
Running the group, with 14 brands and core businesses in France, Italy, Germany and the United States, also requires complex diplomatic skills, another person familiar with the matter said.
Meanwhile, Volvo Cars brought back its 74-year-old former boss Håkan Samuelsson in late March to guide Geely-owned Swedish automaker for several years through U.S. tariff uncertainty.
Lucid is the loss of the US electric vehicle manufacturer (US EV Maker) after Peter Rawlinson resigned in February. Nissan overhauled its leadership team in April to carry out a serious restructuring to stop its financial crisis.
Some executives acknowledge that the ever-changing industry landscape requires skills beyond the automotive sector, but accepting external talent will also be challenging.
“I think, in general, talent is scarce across the industry,” Aston Martin chief Simon Smith said in the future of Financial Times of Car earlier this month. “But it’s not always easy to encourage our managers to think about people outside of cars. It’s an isolated industry.”
Aston Martin appointed former Bentley CEO Adrian Hallmark as his new boss last year, the third change for the British luxury car maker in four years.
“Especially when things change so quickly,[the automotive industry]needs a whole new perspective, it requires fresh eyes, and completely different thinking,” said Lynn Calder, head of off-road maker Ineos Automotive, which warns that the industry is moving towards “inertia” without the diversity of ideas.