Stellantis pushes Ram 1500 REV launch to 2025

Stellantis is delaying the launch of the fully-electric 2025 Ram 1500 REV pickup to the first-half of 2025 as it prepares to ship two other electric vehicles in the coming weeks.

Driving the news: CEO Carlos Tavares confirmed the postponement during a Tuesday conference. 

• Tavares explained the delay would give the company more time to validate the pickup’s design.

• “In terms of validation, it's very important for Stellantis to demonstrate that we have all the capabilities and that we master the technology with a high level of durability,” he commented.

• The REV was originally scheduled to deploy in Q4 of this year. However, Ram CEO Christine Feuell hinted in Oct. that the date would be pushed back until next year.

• Stellantis is instead focusing on the upcoming launch of the Jeep Wagoneer S and Dodge Charger Daytona EVs, both due before winter. The two vehicles are the company’s first fully electric models for U.S. retail customers.

Zooming out: While Tavares said the delay would avoid mistakes and improve the REV’s quality, Stellantis is far from being the only automaker to push back an EV launch this year as the industry grapples with a variety of challenges.

• All three Detroit automakers have taken a step back from electric pickups in recent months, with Ford temporarily halting production of the F-150 Lightning truck until Jan.

• Profitability remains a key roadblock to electrification plans. Ford expects its electric car division to lose about $5 billion this year. And while General Motors estimates it will see a reduction in EV-related costs ranging from $2 billion to $4 billion in 2025, it has pushed back planned factory upgrades that would have expanded its electric pickup production.

• Government incentives are also a concern for manufacturers. Incoming President Donald Trump reportedly intends to cancel the $7,500 tax credit for EV purchases, potentially dealing a blow to demand.

Looking back: Stellantis is also aiming to cut back on spending after its profits plummeted nearly 50% in the first half of this year, although its financial woes are less related to EVs than its competitors. The company has been cutting employment in recent weeks in an attempt to balance its budget ahead of 2025 and is boosting incentives to stir up demand ahead of the holidays.

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