The CEO’s exit comes after the automaker reported a slump in sales and slashed its profit outlook earlier for this year.

The company, facing slumping sales, announced that Carlos Tavares would step down immediately and that a search for a new chief was underway.

Stellantis chief executive Carlos Tavares resigned "with immediate effect" on Sunday, the maker of Jeep and Ram vehicles announced. The big picture: The Italian-U.S. auto maker had faced a sales slump and Stellantis' senior independent director Henri de Castries said in a statement that "in recent weeks different views have emerged which have resulted in the Board and the CEO coming to today's decision.