Stellantis has reported third quarter shipments (vehicles delivered to dealers, importers and fleets ahead of retail and revenue recognition) down by a fifth after a particularly sharp drop in North America, where it has said it is taking corrective actions to reduce inventory.

The company said the quarterly decline ‘reflects inventory reduction initiatives, as well as impacts of new product launches’

Consolidated shipments for the three months ending September 30, 2024, were an estimated 1.148m units, representing a 20% decline versus the same period in 2023. Stellantis said the shipment decline was more severe than the underlying sales decline in the period of approximately 15%, due to ‘the temporary impacts of transitions in our product portfolio and dealer inventory reduction initiatives’.

In North America, shipments declined approximately 170,000 units versus the same quarter last year. The company said that more than 100k of that drop was related to pre-announced production cuts ‘intended to reduce dealer inventory as well as product portfolio gaps as the group transitions to new multi-energy offerings’. It said a new generation of products is to be launched, starting in late 2024 with the Dodge Charger Daytona and Jeep Wagoneer S.

However, Stellantis said US sales to final customers supported market share increases month over month during the third quarter from 7.2% in July, to 7.9% in August, to 8.0% in September while inventory was reduced by 50k units (-11.6%) compared to the end of the prior quarter.

Last month Stellantis slashed its 2024 profit margin outlook on higher costs incurred in the US and lower sales in key markets.