The decision by Stellantis to cancel the planned retooling of its Brampton Assembly Plant and shift Jeep Compass production to Belvidere, Illinois, is more than just a logistical hiccup. It’s an economic drama for the Canadian community.
While the immediate focus is on the 3,000 direct Unifor jobs now in limbo, local officials warn the real casualty count is exponentially higher, jeopardizing the livelihood of up to 20,000 people.
As the Brampton Board of Trade succinctly put it, Stellantis is pulling the plug on an entire micro-economy built around the plant since its 1986 opening. It’s not just the workers on the assembly line feeling the pinch. It’s the vendors supplying uniforms, the utility companies keeping the lights on.
The city’s Head of Advanced Manufacturing confirmed a list of two dozen local companies that directly feed the Stellantis operation, suggesting a ripple effect that will hit thousands of local workers.
The notoriously chaotic and unpredictable trade policies of the Trump administration. Stellantis pointed directly to the 25% tariff first imposed in February as the reason for pulling the plug on the Jeep Compass move that began in January 2024. The move was swiftly and venomously condemned by Unifor. Local president Vito Beato labels the company’s behavior “disrespectful and disgusting”, citing previous commitments made to the Canadian facility.
Further complicating the situation is the ongoing, bewildering tariff standoff. Just last week, Trump threatened an additional 10% duty on Canada. The trade instability is the new normal. While the US Senate offered a largely symbolic 50-to-46 vote to repeal the existing tariffs, the vote primarily served to underscore the paralyzing political confusion impacting the Canadian automotive sector.
Unwilling to wait for the Americans to resolve their tariff tantrum, the Brampton City Council is taking action. Mayor Patrick Brown and the council unanimously voted to seek intervenor status in any potential legal action the federal or provincial governments may take against Stellantis for breaching past agreements. Having supported the plant through transitions from Chrysler to FCA and eventually to Stellantis over four decades, Brampton is now fighting back.
