Stellantis is “seriously considering” closing and selling its assembly plant in Brampton, Ont., according to Unifor president Lana Payne.
Payne said Stellantis told the union this week that it is considering shutting down the plant, which has been left without production plans after the company moved future Jeep Compass production to Illinois.
“Stellantis has reiterated to us its commitment to Brampton and our members,” Payne said. “But on Wednesday … I received information from Stellantis that it is now seriously considering the closure and sale of the Brampton Assembly Plant.”
Stellantis said it is preparing to begin contract talks with Unifor and has no announcement at this time.
“Our focus remains on finding a sustainable manufacturing solution for Brampton Assembly,” a company spokesperson said.
The possible closure comes as Canada and the United States negotiate trade issues, including new tariffs affecting the auto sector.
Payne said Canadian auto production should not face U.S. tariffs because trade between the two countries is balanced.
Stellantis has faced pressure from the federal government since announcing plans to move some production from Canada to the U.S.
Ottawa launched a dispute process last year, arguing the company had failed to meet commitments tied to government funding.
A 2022 agreement gave Stellantis access to $529 million in federal funding to upgrade its Brampton and Windsor plants. The funding was tied to keeping production and jobs in Canada.
The federal government has also said job guarantees are included in other agreements with Stellantis, including a nearly $15-billion investment in a battery plant in Windsor.
