Stellantis has suspended production at several Canadian and Mexican auto assembly plants due to new tariffs. The move affects approximately 4,500 hourly workers in these countries, with some also facing temporary layoffs in the United States.
Specifically, Stellantis has closed its Windsor, Ontario plant for two weeks starting Monday, impacting 900 US hourly employees who produce powertrains and stampings. These workers are employed at five different Midwest plants: Warren Stamping and Sterling Stamping in Michigan, as well as the Indiana Transmission Plant and Kokomo Transmission Plant.
The temporary layoffs due to reduced production prompted by the tariffs will not immediately affect pay for most affected US workers, thanks to their union contract protections. However, prolonged shutdowns at the Mexican and Canadian plants could result in lost wages even with union protection.
Stellantis’s assembly plant in Toluca, Mexico, which produces Jeep Compass and electric Wagoneer S models, will remain closed throughout April. The company has emphasized its commitment to navigating these market changes while engaging with key stakeholders, including unions, suppliers, and government leaders.
The United Auto Workers union president, Sean Fain, criticized Stellantis’s decision, stating that the layoffs are “completely unnecessary” and unfairly penalize workers for management’s poor decisions. Unifor, the Canadian union representing autoworkers, also condemned the move, warning that US tariffs would harm workers immediately and highlighting the interconnected nature of North American production systems.
Source: https://edition.cnn.com/2025/04/03/business/tariff-related-layoffs-hit-five-us-auto-plants/index.html