General Motors has officially announced the discontinuation of BrightDrop electric delivery van production at the CAMI Assembly plant in Ingersoll, casting doubt on the future of the southwestern Ontario facility. Production halted in May due to decreased demand in the commercial EV market, with no plans to relocate BrightDrop production elsewhere. GM Canada’s president, Kristian Aquilina, stated that the decision was driven by low demand rather than trade-related issues.
The news came as a significant setback for the 1,200 workers, many of whom have been on layoff since spring. Unifor Local 88 President Mike Van Boekel expressed disappointment with the decision, describing it as short-sighted and frustrating for the workforce.
BrightDrop’s launch in 2021 was anticipated to boost GM’s electric vehicle initiatives but faced slow growth in the commercial EV sector. Aquilina highlighted the lack of expected demand growth, regulatory conditions, and declining customer interest as factors leading to the decision to cease production.
The Ingersoll plant, operational since late 2022 after a $1 billion retooling investment, has been running below capacity. GM assured that Canada remains integral to its operations, with continued production in Oshawa and St. Catharines, and a new $600 million battery-materials facility construction in Bécancour, Quebec.
Following strong earnings and record stock prices, GM’s $2 billion retooling of the CAMI plant in 2021 included $500 million from Ontario and Ottawa. Discussions are ongoing regarding the impact on government investments, with Aquilina expressing a commitment to explore alternative opportunities with government partners.
Ontario Finance Minister Peter Bethlenfalvy stated that the province is reviewing contracts with GM to protect investments and jobs. The announcement adds to concerns about the Ontario auto industry, following Stellantis’ decision to shift Jeep Compass production from Brampton to the U.S., raising worries about Canadian jobs.
Unifor and government officials are under pressure to secure a new mandate for the CAMI Assembly plant, similar to past support for EV and battery projects in Ontario.