Stellantis Considers Shutting Ontario Plant, Risking 2,200 Jobs

The automaker may sell its idled Brampton Assembly Plant, citing tariff impacts and breached production pledges tied to government funding. Stellantis is weighing the closure and sale of its Brampton Assembly Plant in Ontario, potentially affecting 2,200 unionized workers.

The automaker may sell its idled Brampton Assembly Plant, citing tariff impacts and breached production pledges tied to government funding.

Stellantis is weighing the closure and sale of its Brampton Assembly Plant in Ontario, potentially affecting 2,200 unionized workers. The move follows the company’s decision to shift Jeep Compass electric SUV production to the U.S., leaving the facility idle since December 2023.

Unifor, the union representing workers, said Stellantis informed them of potential sale discussions on August 12, 2026. The union argues the shift violates collective agreements and commitments made in exchange for federal and provincial subsidies. Stellantis has not issued formal closure notice, which would require a one-year advance under the union contract.

The union links the decision to U.S. auto tariffs, claiming they have pressured Canadian manufacturing. Workers have remained on layoff since the plant’s retooling was paused in February 2025, with no timeline for resumption.

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