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Stellantis idles plants in Mexico and Canada due to tariffs

by SuperiorInvest

The Stellantis Windsor assembly plant is shown on April 1, 2025 in Windsor, Canada.

Bill Pugliano | Getty images

Detroit – Stellantis It is stopping the production in two assembly plants in Canada and Mexico when the company tries to navigate the new round of President Donald Trump of Automotive Tariffs of 25%, the company confirmed Thursday.

The actions are the fastest and drastic by a car manufacturer with respect to the new rates, which enter into force on Thursday and are imposed on all vehicles imported to the United States, even from Canada and Mexico.

Stellantis’s inactivity time begins on Monday and is scheduled for two weeks at the Windsor assembly plant of the automobile manufacturer in Ontario, Canada, and the whole month of April at its Toluca assembly plant in Mexico.

As a result of production pause, approximately 900 employees represented in the United States in support plants will be temporarily fired in addition to approximately 4,500 workers per hour at the Canadian plant, according to a company spokeswoman. The workers of the plant in Mexico will still inform the installation but do not produce vehicles due to the terms of their contracts, said the spokeswoman.

In an email to the employees on Thursday, the head of North America of Stellantis, Antonio Filosa, said that the plant’s inactivity time is linked to tariffs, while the company reviews its options.

“We continue to evaluate the medium and long -term effects of these rates on our operations, but we have also decided to take some immediate measures, including the temporary production of production in some of our Canadian and Mexican assembly plants,” said Philose. “These actions will affect some employees in several of our US and Print motor train that support those operations.”

The Canadian plant produces the minivan of Chrysler Pacifica and the recently launched Dodge Charger Daytona EV. The Mexico plant produces the Jeep Compass SUV and Jeep Wagoneer S EV.

Philose said that “the current environment creates uncertainty,” but assured employees that the company, that continues to look for a new CEO, is “very committed to all our key interested parties, including the main government leaders, unions, suppliers and concessionaires in the United States, Canada and Mexico.”

Detention production will also help Stellantis reduce the levels of vehicle inventory that have accumulated in the means of dull sales for many of their brands.

Stellantis Detroit Rivals Ford motor and General Motors He also responded to rates, but not for inactive production.

GM UPS truck production

GM plans to temporarily increase truck production in a plant in Indiana.

The increase in workers adds to those that the company was already hiring for the plant as supplementary workers to support summer holidays and free time for their usual employees, according to a person familiar with the plans.

GM, in a statement sent by email, confirmed the plans on Thursday without mentioning the rates.

Detroit’s car manufacturer produces its crucial and highly profitable trucks such as Chevrolet Silverado and GMC Sierra in several plants in the United States, Canada and Mexico.

GM has not reduced production in any plant as a result of tariffs like Stellantis is doing, said the person, who was not authorized to talk to the media.

Ford employee discount

Hours after Trump’s tariffs entered into force, Ford announced that he will offer his employee discount to all customers.

Ford said the sales program, which is executed from April 3 to June 2, includes “significant savings”, but did not disclose exact details about discounts.

The program, which calls “from America, for America”, excludes some larger vehicles such as Ford Raptor, 2025 Ford Expedition, Ford Super Duty Trucks and Lincoln Navigator SUV.

“We understand that these are uncertain times for many Americans,” said the company in a statement. “We have the retail inventory to do this and many options for customers who need a vehicle.”

The Sales of US cars. UU. In the first quarter they arrived higher than expected, since consumers went into mass to buy cars before automatic tariffs take effect, which many expect will lead to higher vehicles prices.

– CNBC’s Michele Luhn contributed to this article.

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