Stellantis is seriously looking at shutting down an assembly plant in Brampton, Ont., according to a statement from Unifor president Lana Payne on Friday.
This comes after Stellantis, in October 2025, emphasized that it was still dedicated to Canadian production and backing local workers after announcing it would shift Jeep Compass production from the Brampton Assembly Plant to another facility in Illinois.
“Stellantis notified us that it would move the future Jeep Compass production slated for Brampton to the United States, idling the plant indefinitely. Throughout this entire time, though, it’s important to note, Stellantis has reiterated to us its commitment to Brampton and our members,” Payne said while speaking in Toronto.
“But on Wednesday of this week, I received information from Stellantis that it is now seriously considering the closure and sale of the Brampton Assembly Plant.”
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In a statement sent to on Friday, Stellantis mentioned it is about to start negotiations with the union.
“We are preparing to enter the collective bargaining process and have nothing to announce at this time. Our focus remains on finding a sustainable manufacturing solution for Brampton Assembly,” said a spokesperson from Stellantis.
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1:05 Slightest consideration of selling Brampton assembly plant, relocating operations stateside.
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Stellantis has come under heavy scrutiny from federal authorities since announcing plans last fall to relocate some production out of Canada and into the U. S.
In November, Industry Minister Mélanie Joly initiated a formal dispute resolution process claiming that Stellantis breached a contract which provided access to federal funding, followed by a default notice filed shortly after.
“These actions are not symbolic. They are direct consequences of violating clear commitments…. When commitments made by companies toward Canadian workers aren’t honored, there will be repercussions,” Joly stated in French back in November.
Mentioning contract breaches at that time, Joly specifically referenced a 2022 agreement signed by Stellantis for $529 million from the federal Strategic Innovation Fund intended for retooling plants located in Brampton and Windsor, Ont.
This contract was contingent upon maintaining production at those facilities as she pointed out.
The minister also noted recent contracts between Ottawa and Stellantis – including nearly $15 billion invested into a new battery plant in Windsor – are “linked” as far as tying funding directly with preserving jobs within Canada.
“There are job guarantees across all different contracts,” she mentioned.
– with files from ’s Sean Boynton
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Get daily Canada news delivered to your inbox so you’ll never miss the day’s top stories. The announcement from Payne comes right after important trade discussions this week between Canada and the U. S. in Washington, along with new 50 percent tariffs set to take effect on Aug. 19. The new tariffs include measures aimed at the Canadian auto industry. “This is not an industry that should be subjected to tariffs from the United States. Our trade in auto is completely balanced with the U. S.,” Payne stated. “Canada is not the problem.” “If we’re having bilateral discussions now with the U. S., then there should be no tariffs on the auto industry.” Related Videos
1:05 Slightest consideration of selling Brampton assembly plant, relocating operations stateside.
Previous Video Next Video
Additional Information on Canada View more videos
Story continues below
Stellantis has come under heavy scrutiny from federal authorities since announcing plans last fall to relocate some production out of Canada and into the U. S.
In November, Industry Minister Mélanie Joly initiated a formal dispute resolution process claiming that Stellantis breached a contract which provided access to federal funding, followed by a default notice filed shortly after.
“These actions are not symbolic. They are direct consequences of violating clear commitments…. When commitments made by companies toward Canadian workers aren’t honored, there will be repercussions,” Joly stated in French back in November.
Mentioning contract breaches at that time, Joly specifically referenced a 2022 agreement signed by Stellantis for $529 million from the federal Strategic Innovation Fund intended for retooling plants located in Brampton and Windsor, Ont.
This contract was contingent upon maintaining production at those facilities as she pointed out.
The minister also noted recent contracts between Ottawa and Stellantis – including nearly $15 billion invested into a new battery plant in Windsor – are “linked” as far as tying funding directly with preserving jobs within Canada.
“There are job guarantees across all different contracts,” she mentioned.
– with files from ’s Sean Boynton© 2026 , a division of Corus Entertainment Inc.
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