Stellantis Jolts Ontario: Jeep Compass Production Diverted from Brampton to Illinois

In a move sending shockwaves through Canada's automotive sector, Stellantis has confirmed its decision to transfer the production of the next-generation Jeep Compass from its Brampton, Ontario assembly plant to the Belvidere, Illinois facility. This announcement directly contradicts the expectations set by the 2020 collective bargaining agreement with Unifor, the union representing Canadian auto workers, which had earmarked this specific product for Brampton.

The news has been met with immediate and fierce condemnation from Unifor.

National President Lana Payne minced no words, calling Stellantis's decision a "gut punch" and a "betrayal of trust" that violates the spirit of the previous agreement. The union had believed that a significant investment of C$1.5 billion secured in the 2020 deal would bring new product lines, including a "derivative of a current product" widely understood to be the Jeep Compass, alongside a new flexible assembly line for electric vehicles, to the Brampton facility.

Stellantis, for its part, cites "increasing regulatory costs of manufacturing" in Ontario as a primary factor influencing its decision.

The company also pointed to the need for "flexibility in global production plans" to justify the relocation. According to Stellantis, the Belvidere plant is better suited to accommodate the Compass due to its existing product mix and available capacity, aligning with the company’s strategic goals for efficiency and adaptability.

However, for the nearly 3,000 employees at the Brampton plant, the future now looks significantly bleaker.

With the current models—the Chrysler 300, Dodge Charger, and Dodge Challenger—slated to cease production by 2024, the promised Jeep Compass was a crucial lifeline for the facility. Without this new product, the plant faces an uncertain future, raising serious concerns about potential job losses and the long-term viability of automotive manufacturing in the region.

Unifor had championed the 2020 agreement as a landmark achievement, securing commitments for Stellantis to retool its Canadian plants, including a shift towards electric vehicle production.

The diversion of the Compass production casts a long shadow over these plans and reignites the perennial anxieties about Canadian plants being bypassed in favor of their American counterparts, despite past agreements and local incentives. This development underscores the volatile nature of global automotive manufacturing and the ongoing battle for jobs and investment in an increasingly competitive landscape.