Stellantis Shifts Jeep Compass Production from Canada to Illinois
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Stellantis Shifts Jeep Compass Production from Canada to Illinois

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Teresa De Alba By Teresa De Alba | Jr Journalist & Industry Analyst - Fri, 10/17/2025 - 13:41

Stellantis announced it will move production of its next-generation Jeep Compass from its Brampton, Ontario, plant to Illinois. The Brampton facility had halted production last year to prepare for the model’s launch, but modernization work was suspended in February after the Trump administration imposed new tariffs on Canada goods. The decision to relocate production redirects planned investment and output away from Canada’s auto sector, sparking concerns over the future of the Brampton plant and its workforce.

The company unveiled a US$13 billion investment plan over the next four years to increase production capacity in the United States by 50%. Stellantis, which owns brands including Chrysler, Jeep, Alfa Romeo, and Peugeot, said the investment will support five new vehicle launches and create around 5,000 US jobs.

Stellantis noted it is exploring “other projects” for the Brampton facility and plans to expand operations at its Windsor plant in Ontario. Canadian Prime Minister Mark Carney stated on Oct. 14 that the decision “is a direct consequence of the current US tariffs and potential future trade measures” and pledged that his government “will work with Ontario authorities and labor unions to support affected workers.”

During a White House visit on Oct. 7, Carney discussed trade tensions with Donald Trump, who said, “We want Canada to do very well, but there comes a point where we want the same business. We compete for the same business. That’s the problem,” referring to the auto and steel industries.

On Oct. 15, Canada’s Minister of Industry, Mélanie Joly, sent a letter to Stellantis CEO Carlos Tavares, warning that Ottawa would consider “all available options, including legal avenues,” if the company does not reconsider its Brampton decision. Joly emphasized that Stellantis must “respect its obligations derived from billions of dollars in public financial aid received over the past decades,” noting commitments made during the 2009 government bailouts. She added that Stellantis must continue supporting affected workers until at least 2027.

Ontario Premier Doug Ford also criticized the plan, pledging to “fight for the workers in this sector” and suggesting that if the federal government cannot negotiate US tariffs, “Canada should start hitting back hard.”

Flavio Volpe, head of the Automotive Parts Manufacturers’ Association, said suppliers investing heavily to serve Brampton were caught off guard, learning about the shift through media reports. He warned the move threatens approximately 10,000 supplier jobs, calling Stellantis’ decision “not OK.”

Photo by:   Stellantis

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