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6d ago

Stellantis Unveils $13 Billion U.S. Manufacturing Push, Triggering Canadian Legal Threats

Canada says the Compass shift from Brampton to Illinois violates commitments tied to past support for Stellantis.

Cars pass along the assembly line at the Stellantis plant in Brampton, Ontario on Friday July 21, 2023. THE CANADIAN PRESS/Chris Young
The logo of Stellantis sits on the company's building in Poissy, near Paris, France, February 26, 2025. REUTERS/Stephanie Lecocq/File Photo
Image
Cars pass along the assembly line at the Stellantis plant in Brampton, Ontario on Friday July 21, 2023. THE CANADIAN PRESS/Chris Young

Overview

  • Stellantis will spend $13 billion over four years to boost U.S. output by 50% and add more than 5,000 jobs across plants in Illinois, Ohio, Michigan and Indiana.
  • The Belvidere, Illinois assembly plant is slated to reopen in 2027 to build Jeep Cherokee and Jeep Compass, with Compass production moved from Brampton, Ontario.
  • Plant timelines include a midsize truck in Toledo in 2028, a range-extended EV and gas SUV in Warren in 2028, the next Dodge Durango in Detroit in 2029, and a new four‑cylinder engine in Kokomo starting in 2026.
  • The company has framed the shift as partly driven by U.S. auto tariffs it estimates will cost about $1.7 billion this year, positioning more production in the U.S. market.
  • Canada’s industry minister warned of legal or contractual remedies over unmet undertakings, while Prime Minister Mark Carney said Stellantis offered reassurances as it discusses a new mandate for the idled Brampton plant.