Stellantis backs out of plans to make Jeep models in Ontario, relocates to US
Stellantis announced on Tuesday that it will invest US$13 billion over the next four years to expand its manufacturing capacity in the US – a A move that would move production of one model out of Ontario, increase anxiety About Canadian Jobs.
company, Formerly known as Chrysler, says the Jeep Compass, which was originally scheduled to be built at the Brampton Assembly Plant, will now be moved to the Belvidere Assembly Plant in Illinois.
Stellantis says its new investment will increase its US vehicle production by 50 percent and add more than 5,000 jobs.
But in Canada it means “auto jobs are being sacrificed on the Trump altar,” Unifor national president Lana Payne said in a statement.
Brampton, Ontario, The plant is closed from early 2024 for retooling to build the next-generation model of the vehicle, but that work was halted in February due to the looming tariff threat.
Payne called on the government to take action to protect jobs.
“Stelantis cannot be allowed to back out of its commitments to Canadian workers, and governments cannot stand idly by while our jobs are moved to the United States,” said Payne, whose union represents thousands of auto workers at Stellantis, Ford and General Motors.
Brampton Mayor Patrick Brown called the decision extremely disappointing.
“This announcement represents a step back from its commitment to modernize and remodel the Brampton facility – a commitment that has given its 3,000 workers and their families hope for a safe and sustainable future in auto manufacturing,” he said in a statement.
Stellantis has invested $13 billion in America The Canadian auto industry faces both uncertainty and financial pressure due to tariffs imposed this year by U.S. President Donald Trump, who wants to see more domestic vehicle production.
Prime Minister Mark Carney called The decision is “a direct result of current U.S. tariffs and potential future U.S. trade actions.”
In a statement Tuesday night, Carney said the federal government is working with the Ontario government and Unifor to protect Brampton workers and create new opportunities for them.
“We have also made it clear that we expect Stellantis to deliver on its promises to Brampton workers,” he said.
Never stop fighting.– Ontario Premier Doug Ford
Ontario Premier Doug Ford said he stressed his disappointment with Stellantis and told him he would “never stop fighting” for the province’s auto workers.
“This decision is especially painful for workers who have been out of a job for months,” he said Wednesday morning. social media post,
Ford said the automaker has not received any provincial dollars for the Brampton project — and none will proceed — until his government gets “clear assurances” about when the factory will resume operations.
“Stelantis has a duty to honor its promise to Brampton autoworkers and continue to maintain its allocation in Brampton.”
Canada ‘very important’
Asked what would happen to the Brampton plant, a Stellantis spokesperson said, “Canada is very important to us. We have plans for Brampton and we will share them in further discussions with the Canadian government.”
“We’ve been in Canada for over 100 years, and we’re investing,” said Luanne Gosselin, head of communications for Stellantis in Canada.
He said the company has announced plans to follow Promise to add third shift At the Windsor Assembly Plant in southwestern Ontario.
Last week, when reports of Stellantis’ upcoming investment in the US were published, an auto industry analyst told CBC News such a move would not be a shock.
Tom Venetis, editor of Octane magazine, said, “It’s no surprise to me, and I don’t think anyone who’s been watching what’s happening in the United States should be surprised by it either.”
He says the new tariff regime is putting pressure on Stellantis to “rethink” its investment and manufacturing strategies.
