Auto Giant Ends Canadian Jeep Production, Brings Jobs Back To America

Stellantis, one of the “Big Three” American automakers, announced on Tuesday that it is changing course on plans to manufacture a Jeep model in Ontario, Canada, as the company focuses on expanding production in the United States.

Stellantis previously planned to produce its Jeep Compass at the Brampton Assembly Plant in Ontario, but its new focus on U.S. investment will move production to the United States, as the company plans to reopen a plant in Belvidere, Illinois, CBC reported. The Michigan-based company aims to “invest $13 billion over the next four years to grow its business in the critical United States market and to increase its domestic manufacturing footprint.”

“The investment is the largest in the company’s 100-year U.S. history and will support the introduction of five new vehicles across the brand portfolio in key segments; production of the all-new four-cylinder engine; and the addition of more than 5,000 jobs at plants in Illinois, Ohio, Michigan, and Indiana,” Stellantis said.

The move comes as President Donald Trump’s tariffs continue to punish American automakers that manufacture vehicles and parts abroad to sell in the American market. Canadian leaders voiced their frustration with Stellantis’ decision, with Canadian Prime Minister Mark Carney saying the move is a “direct consequence of current U.S. tariffs and potential future U.S. trade actions.”

Trump met with Carney at the White House last week, and the two leaders discussed trade and tariff policies. After his visit, Carney’s office touted his nation’s trade relationship with the United States, saying, “Canada currently has the best trade agreement of any U.S. trading partner, with 85% of Canada-U.S. trade now tariff-free, and our cooperation is further improving border security.”

The Brampton, Ontario, plant has been shut down since 2024 to focus on repurposing the factory to manufacture the next-generation electrified Jeep Compass. After Trump imposed his auto tariffs, the company paused its retooling effort at the Brampton plant.

Unifor, the trade union that represents many Canadian auto workers, argued that auto jobs in Canada “are being sacrificed on the Trump altar.”

“Stellantis cannot be allowed to renege on its commitments to Canadian workers, and governments cannot stand by while our jobs are shifted to the United States,” said Unifor National President Lana Payne.

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Ontario Premier Doug Ford, who has strongly criticized President Trump over the tariffs, said in a Wednesday morning X post that he talked to Stellantis “to stress my disappointment with their decision to prioritize investment into the U.S.” He added, “This decision is especially painful for those workers who have been out of jobs for months.”

Earlier this year, as part of Trump’s wide-ranging trade policy, the Trump administration imposed a 25% tariff “on imports of automobiles and certain automobile parts,” arguing that the move was necessary to address “a critical threat to U.S. national security.” Multiple American and foreign automakers responded to the tariff policy by announcing plans to increase production in the United States.

In May, General Motors said it would cut back production at a truck plant in Oshawa, Ontario, due to Trump’s tariffs taking effect. GM said a month earlier that it planned to ramp up production of light-duty trucks at its assembly plant in Fort Wayne, Indiana.