Stellantis CEO Carlos Tavares has issued a stark warning to automakers, asserting that a slowdown in the transition towards electric vehicles would be a “big trap” with potentially disastrous consequences.

Tavares, speaking at the Automotive News World Congress, emphasized the urgent need for the industry to embrace electrification. He cautioned that delaying the shift would lead to a “missed opportunity” and leave manufacturers behind in a rapidly evolving market.

“If we slow down the transition to electric vehicles, we will be in a big trap,” Tavares stated. “We need to accelerate the transition.” He outlined the growing consumer demand for EVs, fueled by environmental concerns and the increasing availability of affordable models.

While acknowledging the challenges associated with the transition, such as infrastructure development and battery supply chains, Tavares emphasized that “we need to work together, as an industry, to overcome these challenges.” He urged manufacturers to invest in research and development, collaborate with governments, and prioritize sustainability initiatives.

The CEO’s statement reflects a growing sentiment within the automotive industry, with many major players now recognizing the imperative of electrification. The rapid advancements in EV technology, coupled with regulatory pressure and consumer preferences, are pushing the industry towards a future dominated by electric vehicles.

Failing to adapt to this paradigm shift could leave automakers struggling to compete in a market dominated by agile and innovative EV players, resulting in a significant loss of market share and financial vulnerability. The “big trap” that Tavares describes underscores the critical need for decisive action and a commitment to accelerate the transition towards a sustainable and electrified future for the automotive industry.