Stellantis Sells Brampton Auto Plant to Defence Contractor Roshel, Ending 40 Years of Automaking
Stellantis has sold its Brampton, Ontario, assembly plant to defence contractor Roshel Inc. after halting a retooling project for the Jeep Compass due to U.S. tariffs on Canadian-made vehicles. Approximately 2,200 workers remain on indefinite layoff as the Canadian government declares Stellantis in default of a funding agreement worth up to $529 million.
Stellantis has sold its Brampton, Ontario, auto plant to defence contractor Roshel Inc., ending four decades of vehicle manufacturing at the facility and leaving approximately 2,200 workers on indefinite layoff.
The automaker idled the 2.95-million-square-foot plant, situated on 269 acres, in late 2023. At that time, almost 3,000 employees were sent home for a retooling process expected to take 22 months to prepare the site for production of the Jeep Compass. However, Stellantis halted the retooling work after U.S. President Donald Trump imposed 25-per-cent tariffs on Canadian-made cars in 2025. The company subsequently shifted Jeep Compass production to Belvidere, Illinois, and sold the Brampton property to Roshel.
The sale follows a determination by Industry Minister Mélanie Joly’s office that Stellantis violated the terms of a 2022 agreement with the federal government. Under that agreement, Ottawa provided as much as $529 million to Stellantis for work on plants in Brampton and Windsor, Ont. The government has now declared the automaker in default for breaching the conditions allowing it to use taxpayer money for the retooling.
About 2,200 Stellantis employees remain on layoff, receiving roughly 70 per cent of their normal pay based on a 40-hour work week. Unifor chairperson Ardis Snow, a 38-year Stellantis employee, noted that laid-off workers are facing severe financial hardship and mental-health challenges. Some have been forced to sell their houses and relocate to more affordable regions such as New Brunswick. Workers who previously earned $45 an hour are now encountering new job offers at $25 an hour, alongside the loss of overtime pay and potential pension paths.
Roshel Inc. owner Roman Shimonov stated that the company intends to pursue both defence and automotive contracts using the existing assembly line at the Brampton site. Roshel is currently pursuing a federal light utility vehicle contract valued at $4.9 billion.
The Brampton plant was originally built by American Motors Corp. and acquired by Chrysler, now part of Stellantis NV, in 1987. Before closing, the factory produced the Dodge Charger and Challenger. Unifor has vowed to lead efforts to unionize any workforce hired by Roshel at the site.