‘We will sue them’: Canada threatens Stellantis as Trump trade war reshapes Jeep production plans

Canada has threatened legal action against Stellantis over its plan to sell an idled assembly plant in Brampton, Ontario, after shifting planned Jeep production to the United States. The dispute centres on whether the carmaker has broken commitments tied to federal funding, as trade tensions and US tariffs reshape automakers’ production plans.

Industry Minister Mélanie Joly said the government issued Stellantis a formal notice of default, giving it 30 days to address the concerns before a possible lawsuit. Stellantis says it will repay $24 million in support for the plant’s original retooling plan, while Canada says the company could owe hundreds of millions. The Brampton plant is set to be sold to armoured vehicle maker Roshel.