The Canadian autoworkers union expected to reach a deal with Stellantis on a new contract by the end of Friday, Sept. 11.
Instead, Stellantis and a Canadian defense contractor have signed a document establishing the first steps toward the sale of the idled Brampton Assembly Plant outside Toronto. Meanwhile, the union representing 8,000 Stellantis employees said contract negotiations have completely stalled over that same plant.
Rumors of a potential sale of the Brampton Assembly Plant became public when Unifor, the Canadian union representing Stellantis' automotive workforce in the country, criticized the idea at a news conference in August. Now both Stellantis and the union have confirmed to the Detroit Free Press that the automaker and Canadian company
Roshel have signed an agreement precipitating a sale. Bloomberg first reported the news of the deal.
Stellantis Canada spokesperson LouAnn Gosselin said in a statement to the Free Press that she could confirm the company has entered a memorandum of understanding — in other words, an agreement — with Roshel.
Roshel specializes in the production of armored defense vehicles and fleet management. Canadian media reports indicate Roshel has previously been in talks with the U.S. Immigration and Customs Enforcement (ICE), which sought to purchase armored vehicles from the company.
"Following consideration of a number of potential opportunities, Stellantis believes that Roshel represents a strong path to restoring sustainable operations at Brampton Assembly, preserving the site's strategic role in Canada's advanced manufacturing sector and helping to avoid a prolonged period of inactivity," Gosselin said.
Roshel did not immediately respond to a request for comment.
The Brampton Assembly Plant, which was previously slated to build the Jeep Compass before Stellantis moved the product out of Canada in 2025 to avoid tariffs, has been idled since 2023. Stellantis previously inked a contract with Unifor in 2023 promising to build the Compass at the site. Had all gone according to plan, the union estimated all three shifts would be online at Brampton by now.
The news comes as Unifor and Stellantis met to negotiate differences — chief among them being outrage over the Brampton sale — at the bargaining table. Unifor had selected Friday as the day to reach a tentative deal.
Friday afternoon, however, the union issued a news release saying negotiations "have reached an impasse" and the union has yet to settle a deal with the automaker as it lobbies to sell the plant.
"Central to the impasse is the future of Stellantis’ Brampton Assembly Plant," Unifor spokesperson Kathleen O'Keefe said in the statement. "The Unifor Master Bargaining Committee has paused negotiations in Toronto and is actively considering next steps."
The unions represents the largest chunk of Detroit Three autoworkers in Canada. Of those 8,000 members, more than a quarter are assigned to Brampton Assembly. The union also represents members at Stellantis' Windsor Assembly Plant and the Etobicoke Casting Plant outside of Toronto.
"Unifor has been consistent in its position that there will be no tentative settlement without a suitable resolution for Local 1285 members at Brampton," O'Keefe said. "The union has reiterated this position to both the company and government officials."
Unifor reached agreements with Ford Motor Co. and General Motors in August, setting a pattern for the next contract with Stellantis.
The contract between Stellantis and Unifor expires Sept. 20. Unifor said it will continue to provide details in the coming days, but without a resolution regarding Brampton, "formal contract talks between Unifor and Stellantis are paused until further notice," the union said.
Liam Rappleye covers Stellantis for the Detroit Free Press. Contact him: LRappleye@freepress.com.
This article originally appeared on Detroit Free Press: Union blasts Stellantis for plans to sell idled plant to defense company
