Stellantis ‘seriously considering’ closing Ontario assembly plant: Unifor
Stellantis is strongly considering closing an assembly plant in Brampton, Ont., according to a statement from Unifor president Lana Payne on Friday.
Unifor president Lana Payne revealed on Friday that Stellantis is seriously considering closing its Brampton assembly plant in Ontario, Canada. This decision came after Stellantis announced in October 2025 that it would move Jeep Compass production from Brampton to another facility in Illinois, effectively idling the Ontario plant indefinitely.
Payne emphasized that while Stellantis has consistently stated its commitment to Brampton and its members, the news of potential closure was received on Wednesday. In response, Stellantis stated it will enter into negotiations with the union but did not provide further details at the time. The news of potential plant closure arrives amidst critical trade negotiations between Canada and the U.S., and the implementation of new 50% tariffs on Aug.
19, which specifically target the Canadian auto sector. Unifor president Payne argued that Canada should not face tariffs when its trade with the U.S. is balanced. She stressed that Canada is not the problem and advocated for no tariffs on the auto industry during ongoing bilateral discussions with the U.S. Stellantis has been under scrutiny from the federal government since announcing plans in the fall to relocate some production out of Canada.
Industry Minister Mélanie Joly initiated a formal dispute resolution process in November, alleging that Stellantis had breached a contract that granted it access to federal funding. Joly accused the company of violating commitments made in a 2022 agreement that secured $529 million from the federal Strategic Innovation Fund to retool plants in Brampton and Windsor, Ontario.
The government's actions stem from the belief that when the federal government commits to Canadian workers, there should be consequences if those commitments are not upheld. Joly highlighted that recent contracts, including a $15 billion investment in a new battery plant in Windsor, are contingent upon maintaining Canadian jobs.
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