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Stellantis, which owns car brands like Jeep, Citroën and Ram,
said Thursday it will be temporarily pausing production at the
Windsor assembly plant in Canada for for the weeks of April 7
and 14. Operations will resume at the facility the week of April
21.
The company will also be temporarily pausing production at the
Toluca assembly plant in Mexico for the month of April, starting
on April 7.
Due to the production pause, there will be temporary layoffs at
the Warren and Sterling stamping plants in Michigan and at the
Indiana and Kokomo transmission plants and Kokomo casting
facility in Indiana.
Stellantis plans to continuously monitor the situation to
determine if further action is necessary.
In a email from North American Chief Operating Officer Antonio
Filosa sent to employees, Filosa said that Stellantis will
quickly adapt to the policy changes imposed by Trump. He noted
that the actions that the company is taking “are necessary given
the current market dynamics.”
“We understand that the current environment creates
uncertainty,” Filosa wrote. “Be assured that we are very engaged
with all of our key stakeholders, including top government
leaders, unions, suppliers and dealers in the U.S., Canada, and
Mexico, as we work to manage and adapt to these changes.”
Late last month Trump said he was placing 25% tariffs on auto
imports, a move the White House claimed would foster domestic
manufacturing but could also put a financial squeeze on
automakers that depend on global supply chains. Later Thursday,
Prime Minister Mark Carney said Canada will match U.S. President
Donald Trump’s 25% auto tariffs with a tariff on vehicles
imported from the United States.
Stellantis has also been dealing with some of its own
challenges. In December CEO Carlos Tavares stepped down amid an
ongoing struggle with slumping sales.
Stellantis’ North American operations had been the company’s
main source of profits for some time, but struggles piled up
last year, with the company citing rising competition and larger
market changes.
In efforts to revive sales, Stellantis previously made a number
of leadership changes in October, which included naming new
heads of operations in North America and Europe.
In January the company announced plans to reopen an assembly
plant in Illinois and build the next generation Dodge Durango in
Detroit as it looked to resolve issues with the UAW.
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