Carmaker Stellantis has embarked on what industry executives expect to be a lengthy and deeply challenging effort to replace star chief executive Carlos Tavares after a sudden reversal in the fortunes of the company that builds the Peugeot, Fiat and Jeep brands.

Stellantis said on Monday it has begun a search for a candidate to succeed CEO Carlos Tavares, whose contract is set to expire in 2026.

The company's chair is increasingly dissatisfied with the situation in North America, where sales have have slowed and several executives left.

Carlos Tavares has a contract to remain as Stellantis chief executive until early 2026 but that hasn’t stopped company chairman John Elkann from already starting a search for Tavares’ successor.

Stellantis has initiated a search for a successor to CEO Carlos Tavares, Bloomberg News reported on Monday citing people familiar with the matter. Tavares has been under pressure to correct the automaker's struggling North American operations,

Pressure on Tavares is rising due to Stellantis' poor performance in markets including the U.S., its biggest single profit pool.