Stellantis, the carmaker behind Peugeot, Fiat, Jeep, and Citroën, announced a €22bn (£19.1bn) charge. This comes as it admits it "overestimated" how fast electric vehicles would grow. The company will also sell its 49% stake in a Canadian battery joint venture with NextStar Energy to South Korea's LG Energy Solution. Chief Executive Antonio Filosa said, "The charges announced today largely reflect the cost of overestimating the pace of the energy transition that distanced us from many car buyers’ real-world needs, means and desires." He added, "They also reflect the impact of previous poor operational execution, the effects of which are being progressively addressed by our new team." The charges include €6.5bn in cash payments over four years and nearly €15bn to realign product plans with US customer preferences and emission rules. This includes cancelling the Ram 1500 electric truck, which Stellantis had previously promoted as "set to push boundaries." Demand for electric vehicles is rising in Europe but has dropped sharply in the US after the Trump administration removed a $7,500 tax credit and considered easing emission rules. Despite these setbacks, Stellantis claims it remains an EV leader and will continue developing electric models. However, the company stressed, "That journey continues at a pace that needs to be governed by demand rather than command." Stellantis also announced it will not pay dividends to shareholders in 2026. Its shares plunged almost 19% in Milan, losing €4.5bn in market value before trading was halted. Filosa concluded, "We have gone deep into every corner of our business and are making the necessary changes. In 2026, our unwavering focus is on closing past execution gaps to add further momentum to these early signs of renewed growth." Analysts from Citi noted the company may still need to cut factory capacity, saying, "We think any upside to Stellantis most likely feature capacity reductions to fully reset the North America and European businesses." This news follows major charges announced recently by rivals Ford and General Motors for their EV strategies.