The Stellantis Windsor Assembly Plant is set to shut down for two weeks starting April 7, as confirmed by Unifor Local 444. The decision comes in response to new U.S. tariffs announced by President Donald Trump, adding another layer of uncertainty to the North American auto industry.
In a message posted on Facebook, Unifor Local 444 president James Stewart relayed the company’s decision, stating that while rumors of potential downtime had been circulating, the primary reason cited was the newly imposed tariffs.
Trump Announces ‘Liberation Day’ Tariffs
On April 2, President Trump, in a speech from the White House Rose Garden, unveiled a set of new tariffs he termed “reciprocal tariffs.” These measures aim to bolster domestic manufacturing by imposing a 25 percent tariff on all foreign-made automobiles. Although Canada has been exempted from these specific tariffs under the Canada-United States-Mexico Agreement (CUSMA), the U.S. continues to maintain tariffs on steel, aluminum, and other auto-related imports.
“For decades our country has been looted, pillaged, raped, and plundered by nations near and far, both friend and foe alike,” Trump stated in his address, calling the announcement a step towards reclaiming American industry.
While Canadian-made vehicles that comply with CUSMA remain tariff-free, the industry is still facing disruptions due to supply chain dependencies and increased operational costs.
Impact on Stellantis Operations
Stellantis, a global automotive giant, has acknowledged the challenges posed by the policy changes. The company issued a statement on Thursday confirming that it is closely evaluating the impact of the tariffs.
“Immediate actions we must take include temporarily pausing production at some of our Canadian and Mexican assembly plants, which will have an impact on several of our U.S. powertrain and stamping facilities that support those operations,” Stellantis stated.
The Windsor Assembly Plant, which manufactures vehicles for both North American and global markets, is a key contributor to the Canadian auto sector. The temporary shutdown is expected to affect thousands of workers and disrupt supply chains across North America.
Union Calls for Clarity and Stability
Union representatives have voiced concerns over the growing uncertainty within the auto industry. In his statement, Stewart emphasized that the tariffs are not only affecting the Windsor plant but also creating ripple effects across facilities in the U.S. and Mexico.
“This has and continues to create uncertainty across the entire auto industry,” Stewart noted. “Our members deserve clarity and accountability from the company, and we will continue pushing for answers.”
Industry-Wide Concerns
The latest tariffs add to the ongoing struggles of the North American auto sector, which has been grappling with supply chain disruptions and fluctuating material costs. Canadian auto suppliers, such as Martinrea, which provides parts to both Canadian and U.S. plants, could face increased pressure as companies reevaluate sourcing strategies.
As the situation develops, industry stakeholders are closely monitoring potential further changes to trade policies. Meanwhile, workers at the Windsor Assembly Plant, along with their counterparts across the continent, are bracing for more potential shifts in their work schedules as the full effects of the tariffs unfold. With the auto industry at a crossroads, the coming weeks will be crucial in determining how North American manufacturers adapt to the evolving trade landscape.