Stellantis stops factories, fires workers over tariff uncertainty

The U.S.-based automotive corporation hasn’t taken well to the exorbitant tariffs approved (and later suspended) by President Donald Trump. The company has announced pausing the production at multiple sites in Canada, Mexico and the USA and laying off thousands of employees.

The company presented these emergency measures as “temporary”, arguing that the executives needed time to formulate a new development strategy with the tariffs in place. Even so, it means that all affected manufacturing facilities and their personnel will be idling for at least several weeks – more if the crisis continues.

More specifically, Stellantis has laid off around 4,500 workers in Ontario, Canada and a total of 900 in the United States. Things look marginally brighter for the employees of the Toluca Assembly Plant in Mexico – they will continue to work for base salary, even though most facilities will be put on idle.