MILAN (Reuters) -Antonio Filosa was appointed chief executive of automaker Stellantis on Wednesday, following the departure of Carlos Tavares in December.

Here are some the main challenges he faces.

REGAIN MARKET SHARE

The first task will be to revive sales at Stellantis, the world's No. 4 automaker by sales, which has lost market share in the U.S. and Europe.

Dealers on both sides of the Atlantic complained that rising prices at its mass-market brands under Tavares put vehicles beyond the reach of many customers.

Delays in model launches, disappointing EV demand and increased competition from Asian rivals also led to bloated inventories of unsold vehicles that weakened the group's results.

ELECTRIC VEHICLE TRANSITION

Automakers face regulatory uncertainty after U.S. President Donald Trump turned against EVs, and many expect Europe could also slow the shift towards electrification in the industry.

Stellantis, whose brands include Fiat, Peugeot and Jeep, has a target for all of its European passenger car sales to be electric by 2030, and for half of its cars and light-duty truck sales in the U.S. to be electric by the same date.

However, after EV sales growth slowed in many markets, Stellantis has increased its focus on hybrid models as a compromise between the need to reduce carbon emissions and meet customer demand for cheaper vehicles.

At the same time, automakers such as Stellantis must seek to keep pace with innovation in the EV sector, which is dominated by Tesla and Chinese competitors.

US TARIFFS

In April, Stellantis suspended its guidance for a moderate recovery this year, after a profit drop in 2024, due to the uncertain impact of Trump's tariffs.

The Jeep and Chrysler maker last year imported over 40% of the 1.2 million vehicles it sold in the United States, mostly from Mexico and Canada.

CFO Doug Ostermann said the company was talking to suppliers about increasing U.S.-made content in its vehicles to reduce the impact of tariffs.

The company operates assembly plants in Mexico that make Ram pick-ups and vans, as well as the Jeep Compass mid-sized SUV.

The group owns two assembly plants in Canada. In one, it makes Chrysler models, and another is scheduled to resume output of a new Jeep model this year.

BRAND PORTFOLIO

The new CEO faces tough decisions on the company's 14 brands, a legacy of its creation through the merger in 2021 of Fiat Chrysler and France's PSA. Tavares said last July he might be prepared to axe underperforming brands.

Brands seen by analysts as vulnerable include premium marques Alfa Romeo, DS and Lancia.