Stellantis faces strike risk over Brampton plant sale

Contract negotiations between Stellantis and Canadian union Unifor broke down after 10 days of bargaining, according to a report by The Wall Street Journal on September 11, 2026. The central dispute centers on the automaker's plan to sell its idled Brampton Assembly Plant in Ontario to defense-industry supplier Roshel under a signed memorandum of understanding.

Stellantis closed the Brampton factory for retooling in 2023 and paused the project in 2025 before relocating planned Jeep Compass production to Illinois due to U.S. tariffs. Roughly 2,200 workers at the site face indefinite layoffs. Roshel intends to turn the facility into a defense-manufacturing hub and has offered laid-off Unifor members first consideration for jobs, but the union warned the deal threatens wages, pensions, and benefits.

The dispute puts more than 9,000 unionized Canadian employees at risk of labor action ahead of a September 20 contract expiration. Unifor President Lana Payne stated on September 17 that the union could move toward a strike if Stellantis does not change course. Unifor noted that the company backed away from earlier Brampton investment commitments in October 2025 and has left future production plans unclear for its active Windsor Assembly and Etobicoke Casting facilities.