Canada threatened legal action against automaker Stellantis NV on Wednesday over what Ottawa says is the company’s unacceptable plan to shift production of one model to a US plant.
Stellantis announced a $13 billion investment in the US on Tuesday, a move it said would bring five new models to the market. As part of the plan, production of the Jeep Compass will move to Illinois from a facility in Brampton in the Canadian province of Ontario.
Industry Minister Melanie Joly sent a letter to Stellantis CEO Antonio Filosa noting that the company had agreed to maintain its Canadian presence in exchange for substantial financial support.
“Anything short of fulfilling that commitment will be considered a default under our agreement,” she said. If Stellantis did not live up to its commitment Canada would “exercise all options, including legal,” she said.
A copy of the letter was made available…
