Stellantis will be selling the Brampton assembly plant to Canadian-based defence technology company Roshel.

The automaker announced on Nov. 9 it signed an agreement to sell the property.

The plant has been idle since the last vehicles rolled off its assembly line in December 2023.

Stellantis said the plant’s sale is part of its FaSTLAne 2030 strategy, which is intended to improve the company’s long-term competitiveness through management of its manufacturing footprint.

The workers at the plant, who are on layoff, are represented by Unifor, Canada’s largest private-sector union.

“Brampton employees have made lasting contributions to Stellantis, and we take our responsibilities to them and their families seriously. After three years of paid layoff, we remain committed to working with Unifor on a fair resolution,” Stellantis CEO Antonio Filosa said in a news release.

“With this announcement, we are driving forward our broader strategic goals, opening new opportunities for Stellantis in the defence industry and creating a path to return the Brampton facility to productive industrial use.”

The automaker acknowledged its obligations to the employees as part of a collective agreement with Unifor and applicable laws. It plans to negotiate with Unifor a settlement to assist employees.

Unifor calls sale betrayal

The union had harsh words for the automaker following the official announcement of the plant’s planned sale.

“Stellantis has betrayed our members with an underhanded deal to sell the plant and walk away from its commitments to our members,” Unifor national president Lana Payne said in a release. “Allowing the sale to move forward is a critical failure of the national auto strategy and breaks the federal government’s promise to protect autoworkers in the U.S. trade war.”

Unifor further said the sale is in violation of the collective agreement in breach of the automaker’s commitments to the federal government.

Roshel plans to support Canadian manufacturing jobs

Roshel, the planned eventual owner of the plant, said it plans to support local jobs.

“Our plan is to create a new centre of excellence for advanced manufacturing, which will allow Canadian companies to better serve customers at home and export into allied markets. Aligned with Canada’s Defence Industrial Strategy, it will strengthen our sovereign industrial capabilities, drive local economic growth and bring much-needed manufacturing space and jobs to the Toronto area,” said Roman Shimonov, founder and CEO of Roshel, in a release.

“We look forward to working collaboratively with government and the broader community to bring this vision to life.”

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