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Stellantis Challenges Mount Even as New Ram RHO Roars

by | April 21, 2025

As uncertainty over tariffs continues to cause chaos and tension across the industry, Ram is launching a new off-road model: the RAM RHO.

2025 Ram 1500 RHO black jumping

Ram is going full speed ahead with its new lineup, including the RHO, despite any impact posed by tariffs.

Stellantis is celebrating production of the 2 millionth Ram 1500 as well as the launch of a new off-road variant even as concerns over the Trump Administration’s tariffs and the independence of U.S. Federal Reserve Board batter the U.S. Auto industry and the company’s finances.

The milestone comes approximately six months after the plant celebrated its 40th anniversary as a Stellantis-owned facility. The new RHO comes off that line as do the Warlock and Rebel models, officials noted.

New Ram ready to roll from U.S. plant

Tim Kuniskis, Ram Brand CEO, emphasized Ram is at the start of an aggressive product cadence, and the Ram 1500 RHO expands the brand’s off-road sport truck lineup, which includes Warlock and Rebel. All three are assembled at the Sterling Heights Assembly Plant, outside Detroit.

Employees at the Sterling Heights Assembly Plant (SHAP) celebrate the assembly of their 2-millionth Ram 1500, a flame red 2025 Ram 1500 RHO.

“The Sterling Heights Assembly Plant is a core facility in our manufacturing footprint, tasked with the difficult responsibility of assembling the Ram 1500, a nameplate with 10 trim levels and thousands of configurations,” he said.

Ram is one of the core brands for Stellantis in North America, and the company recently invested $235.5 million in the plant to build the all-new range-extended Ram 1500 Ramcharger as well as the company’s first-ever battery electric light-duty truck, the Ram 1500 REV.

Stellantis just began transitioning to its next generation of products built on its multi-energy platforms engineered to offer a variety of powertrain options, including internal combustion, hybrid and electric.

Facing big challenges

Meanwhile, the launch of the new Ram RHO comes at a time when Stellantis is facing major challenges both from tariffs, economic uncertainty, and competition for sales.

Ram Rampage

The Ram Rampage from Brazil, and the Ram 1200 (above) could influence a future U.S. midsize Ram pickup — but those models won’t come to the States.

Michael Del Monte, a buy-side analyst, noted on the investor-news website Seeking Alpha, “Despite management’s optimism, Stellantis faces declining market share in the U.S. and Europe, with significant sales drops and potential margin compression due to tariffs.”

Stellantis plans to counteract these challenges by ramping up production in the U.S. and launching new models. With deliveries falling short of expectations in the first quarter of 2025, the turnaround may be delayed.  The company confirmed last week deliveries dropped by 9% in the first quarter of 2025.

“Stellantis has been gradually losing market share in the U.S., declining from 11% in 2022 to 8% in 2024. Net sales in North America declined by 31% in Fiscal Year 2024 when compared to the previous fiscal year, posing a major challenge for Stellantis given North America’s 40% share of global revenue for the firm. Accordingly, the North American market accounts for 31% of global profitability,” Del Monte noted.

More Ram News

UAW attacks dividend

Despite the challenges — and in a move sharply criticized by the United Auto Workers — Stellantis shareholders last week approved the distribution of $2.26 billion in dividends.

John Elkann at Ferrari Market Day 2022 closeup

Stellantis Chair John Elkann acknowledged 2024 was a tough year, some of it self-inflicted.

Chairman John Elkann noted in his opening remarks at the annual shareholders meeting, “2024 was not a good year for Stellantis. The reasons for this were partly of our own making, which made this even more disappointing.”

Stellantis reported a net profit for 2024 of $5.8 billion — a 70% drop from 2023.

“Two weeks ago, Stellantis said the sky was falling because of auto tariffs, and said they had to lay off workers, claiming they are losing money. But then all of a sudden, a miracle happened: they found billions of dollars, nearly half of last year’s profits, to pay to Wall Street!” said UAW President Shawn Fain.

“This is everything that has been wrong with corporate America for decades. Instead of investing in the autoworkers and facilities that make this company run, Stellantis is putting Wall Street over Main Street.

“Stellantis could create thousands of good-paying jobs in America in very short order by utilizing excess capacity in places like Toledo South Assembly in Ohio, Belvidere Assembly in Illinois, Mack, Warren, Trenton Engine in Michigan, and plants in Kokomo, Indiana. It’s time for Stellantis to stop looting the Rust Belt for short-sighted Wall Street jackpots.”

“With $5 billion, Stellantis could reopen multiple plants, lower the price of vehicles, and regain their market share in the US auto market. Instead, the company is choosing to spend that money on Wall Street.”

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