Ottawa, Ontario working on package to persuade Stellantis to cancel sale of Brampton plant
The Canadian federal and Ontario provincial governments are offering a new financial package to Stellantis to prevent the sale of its idled Brampton assembly plant. Officials are working with the union to find alternative production solutions to keep the facility operational.
Why it matters
This reflects the ongoing tension between government industrial subsidies and corporate manufacturing decisions in the North American automotive sector.
Industry Minister Mélanie Joly speaks to the media in Toronto on Thursday after discussions over the sale of the Stellantis Brampton assembly plant. Arlyn McAdorey/The Canadian Press
The federal and Ontario governments are offering new funding and production options to Stellantis NV STLA-N to persuade the company not to sell its Brampton, Ont., assembly plant, just a day after Industry Minister Mélanie Joly threatened to sue the automaker to recover hundreds of millions of dollars in subsidies.
Ms. Joly said Friday the governments, along with the union representing workers at the plant, have put “an aggressive package” in front of Stellantis, adding the parties remain “in solution mode to prevent the sale” of the idled factory to defence contractor Roshel Inc.
That sale was announced Monday and is expected to close by the end of the year.
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