Ontario Premier Doug Ford has expressed strong disapproval of potential discussions between Stellantis and a Chinese automaker regarding the potential production of Chinese electric vehicles at the Brampton assembly plant in Canada. The reported talks involve Zhejiang Leapmotor Technology, a Chinese automotive company based in Hangzhou, China.
Stellantis acquired a 21% stake in Leapmotor for $1.6 billion in 2023 and formed a joint venture called Leapmotor International, where Stellantis holds a majority stake. Lana Payne, the president of Unifor, a union representing Stellantis workers, confirmed that the company is exploring various options for the Brampton plant, including collaboration with Leapmotor.
During an interview in Dallas, Texas, Ford criticized the potential deal, stating that it would negatively impact autoworkers in Ontario. He emphasized the importance of maintaining local production and rejected the idea of importing cheap Chinese parts for assembly.
The Brampton plant, which employed approximately 3,000 workers, ceased operations in late 2023 for retooling to accommodate the production of the Jeep Compass. Following tariff actions by the U.S., Stellantis relocated the Jeep Compass production to Illinois in 2025.
Stellantis has not made any official announcements regarding the reported discussions with Leapmotor. The company aims to invest in a sustainable program at the Brampton plant to support workers and suppliers in the long term.
Unifor expressed concerns about potential partnerships with Chinese manufacturers, warning that such collaborations could displace numerous auto industry jobs. The union urged the Canadian government to prioritize domestic manufacturing and employment in the auto sector.
Ford emphasized the importance of producing Ontario-made vehicles using local labor and parts. He is currently in Texas with Ontario Economic Development Minister Vic Fedeli to promote trade expansion.
In 2022, the Canadian government struck a $529 million deal with Stellantis to safeguard jobs at the Brampton plant until 2035, with certain exceptions for viability issues. A dispute resolution process was initiated following the relocation of Jeep Compass production, with ongoing efforts to protect jobs and secure long-term investments in the auto industry.
Stellantis faced scrutiny for potential breaches of funding contracts, prompting government intervention to ensure compliance with production commitments in Windsor and Brampton. The federal government also negotiated trade agreements allowing a specific number of Chinese electric vehicles into the Canadian market at reduced tariff rates.
Efforts to reach the federal Ministry of Industry and Zhejiang Leapmotor Technology for comments on the matter were made by CBC News. The evolving situation underscores the complexities of global trade dynamics and the challenges of balancing domestic production interests with international partnerships.