Ottawa serves Stellantis notice of default on funding agreement after Roshel deal

Detailed summary

Ottawa has served Stellantis with a notice of default on its federal funding agreement after the automaker signed a deal to sell its Brampton, Ont. assembly plant to defence…

Ottawa has served Stellantis with a notice of default on its federal funding agreement after the automaker signed a deal to sell its Brampton, Ont. assembly plant to defence contractor Roshel. A letter from Industry Minister Mélanie Joly on Thursday said Stellantis breached a 2022 funding agreement by halting Jeep Compass production at the plant, failing or refusing to identify a replacement vehicle, not maintaining any production at the facility, and closing the plant. Joly’s letter said Stellantis has 30 days to demonstrate it will “correct these conditions” or she will declare that the company is in default of its obligations.

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