Canada
August 17, 2026
Stellantis could close and sell Brampton Assembly Plant: Unifor
Written by Ethan Bernard
Canadian union Unifor has flagged that automaker Stellantis is considering closing and selling its Brampton Assembly Plant in Ontario.
“On Aug. 12, 2026, the company informed the union of its intent to open discussions with another firm about the potential sale of the plant,” Unifor said in a statement on Aug. 14.
Netherlands-based Stellantis has not provided the union with formal written notice of the closure of the Brampton plant. But “Under the terms of our Collective Agreement, the company must provide no less than one year’s notice of any such closure or sale,” Unifor noted.
When asked about the union’s statement, a Stellantis spokesperson in Canada told SMU, “We are preparing to enter the collective bargaining process and have nothing to announce at this time.”
The spokesperson added, “Our focus remains on finding a sustainable manufacturing solution for Brampton Assembly.”
Background
More than 2,200 Unifor Local 1285 members at Brampton Assembly have been on layoff since the plant was idled in December 2023, the union said. The idling was to retool for the production of the Jeep Compass electric SUV.
However, in February 2025, Stellantis said it would temporarily stop retooling work. The company announced in October 2025 that future manufacturing of the Jeep Compass would be relocated to the US and the Brampton plant was idled indefinitely, according to Unifor.
The union claims the relocation of the Jeep Compass “violates both the Collective Agreement and agreements made by the company for significant federal and provincial government funding.”
Tariff woes
Unifor also referred to President Trump’s 2025 auto tariffs in its statement on the possible closure.
“This potential closure highlights the dangerous repercussions of the ongoing auto tariffs imposed by the Trump administration,” the union said. “For the past 18 months, Unifor has called repeatedly for action to prevent this type of threat to Canada’s auto sector and the jobs it supports.”
The union said that in the upcoming days and weeks, it will engage with company executives “and every level of government.”
Unifor is Canada’s largest private sector union. It has more than 320,000 members across the country.
Stellantis and Unifor agreed to their current three-year labor deal back in November 2023.
