Stellantis announced on Thursday the temporary dismissal of 900 workers at five US facilities following President Donald Trump’s tariff announcement, while also pausing production temporarily in a Mexican and Canadian assembly plant.
The Ram truck and Jeep manufacturer stated that the affected US plants provide engine and stamping components to the two Mexican and Canadian factories that are currently halted.
Affected Plants and Vehicles
- Stellantis Windsor Assembly, where minivans like the Chrysler Pacifica, Dodge Grand Caravan, and Dodge Charger Daytona are assembled, will be out of service for two weeks.
- Toluca Assembly in Mexico, producing the Jeep Compass and Jeep Wagoneer S, will halt operations in April, according to the company.
Automakers are grappling with how to respond to a 25% import tariff on vehicles imported from outside the US. The base US tariff rate for car imports is just 2.5%.
Companies importing vehicles from Canada or Mexico can subtract the value of American parts from the 25% tariff.
In a letter to employees on Thursday morning, Antonio Filosa, Stellantis’ North American Operations Director, stated that the company is still assessing the medium and long-term impacts of these tariffs on its operations. However, they have decided to take immediate actions including temporarily suspending production at some US assembly plants.
“These actions will affect some employees at various stamping and drivetrain plants in the US that support these operations,” Filosa added.
Union’s Response
United Auto Workers (UAW) President Shawn Fain stated, “Stellantis continues to play with workers’ lives… These layoffs are a completely unnecessary decision the company is making.”
The White House declined to comment immediately on Stellantis’ temporary job cuts.
