Stellantis announces $3.6B investment in Windsor, Brampton plants

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Stellantis ensured the future of its Ontario production plants in Windsor and Brampton by announcing a $3.6-billion investment to retool the two facilities to produce electric vehicles.

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In making the announcement Monday at the company’s Automotive Research and Development Centre (ARDC) in Windsor, Stellantis’s chief operating officer for North America Mark Stewart also confirmed that both plants would become three-shift operations once retooling is complete.

In addition, the company will add 650 engineering jobs in Windsor at the ARDC and build a 100,000-square-foot lab dedicated to electric vehicle platform and battery research. It’s the company’s first such lab in North America.

“Windsor is going to be retooled to produce a new multi-energy vehicle architecture that provides battery electric vehicle capabilities across multiple models,” Stewart said.

“Brampton is going to be transformed and fully modernized beginning in 2024. When production resumes in 2025, the plant is going to introduce all-new flexible architecture to support the company’s EV plans, including fully battery-electric vehicles.”

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Stewart confirmed Windsor Assembly would receive two new electric flex platforms usable for multiple models while Brampton would get one such platform. He said exactly what models will be produced in each plant will be revealed in the near future.

Windsor will also retain production of the Pacifica minivan lineup. The Pacifica lineup will be freshened up and will eventually be offered in a fully electric version by the time the entire Chrysler brand goes electric in 2028.

Stewart said Stellantis is forecasting 53 per cent of its new vehicle sales will be electric by 2030.

“We hope today’s announcement brings assurance to our families, to our employees and to the local community that we are committed to Canada for the long ride for the next 100 years,” Stewart said.

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The federal and provincial governments, who were represented at the announcement by Prime Minister Justin Trudeau, Ontario Premier Doug Ford and other key ministers, are contributing hundreds of millions of public dollars as part of plans to green the economy through the next generation of automobiles.

The federal government will contribute $529 million and Ontario up to $513 million of the $3.6 billion total.

“We’re investing in this multibillion-dollar project because it will deliver for workers, for the community and for our economy and for the environment,” Prime Minister Trudeau said.

“Not only are we building a world-leading auto industry, we’re creating hundreds of jobs, securing thousands more and we’re keeping our air clean by building and driving more EVs here at home.

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“That’s 16,000 jobs maintained or created across Ontario and Quebec. That’s how many positions we’ve secured with auto manufacturing deals in just the last two months.”

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Ontario Premier Doug Ford argued the government contributions of such large sums in the auto/battery industries is generating a good return on investment from the private sector.

Recent government contributions to help secure new investments from Stellantis, GM, Ford, Honda and Toyota, much of it being in the electric vehicle space.

“Over the past 18 months in Ontario we’ve seen $14 billion in investments in new vehicle and battery production,” Ford said.

“Investments in every part of our automotive supply chain means the cars of the future will be built in Ontario from start to finish.”

More than half of that $14 billion total is being invested in Windsor.

Stewart declined to reveal how the $3.6 billion will be divided between Brampton and Windsor or what the final job numbers would be for three-shift operations at the two plants.

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“The magic number is three today, as in three shifts in Windsor and Brampton and three new electric vehicle mandates,” said federal Minister of Innovation, Science and Industry Francois-Philippe Champagne. “We have reshaped the future of the auto sector in Canada.”

1. Stellantis aims to become first carbon-free automaker
2. $5B Windsor battery plant the largest private sector investment in Ontario history
3. Scale of impact of Windsor battery plant hard to fathom

Combined with March’s announcement of Stellantis/LG Energy Solutions’ $5-billion battery plant in Windsor — the automaker’s first in North America — Ontario has shifted from being a marginal to a key player in the company’s future plans.

The announcements securing thousands of jobs at the two Ontario production plants and their supply chains thrilled Unifor representatives in attendance.

“This is wonderful and with this announcement, I can’t thank both governments enough,” said Unifor Local 444 president Dave Cassidy.

“We’re excited about what is happening inside our facilities. That’s where it happens.

“If you want it built right, you build it in Canada.”

Dwaddell@postmedia.com

Twitter.com/winstarwaddell

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