Stellantis temporarily halts production at 2 plants in Canada, Mexico as auto tariffs take effect

[Hol]

Automaker Stellantis is temporarily halting production at a plant in Canada and a plant in Mexico shortly after President Donald Trump announced a 25% tariff on imported vehicles. The move will result in the temporary layoff of 900 U.S. employees.

Stellantis, which owns car brands like Jeep, Citroën and Ram, said Thursday it will be temporarily pausing production at the Windsor assembly plant in Canada for for the weeks of April 7 and 14. Operations will resume at the facility the week of April 21.

The company will also be temporarily pausing production at the Toluca assembly plant in Mexico for the month of April, starting on April 7.

Stellantis temporarily halts production at 2 plants in Canada, Mexico as auto tariffs take effect

Automaker Stellantis is temporarily halting production at a plant in Canada and a plant in Mexico shortly after President Donald Trump announced a 25% tariff on imported vehicles.

apnews.com

 

[Almost Heaven]

Pausing operations at auto plants is nothing unusual. Me thinks these pauses were already scheduled and are being blamed on tariffs. Sounds about right for the source AP news.

 

[Hol]

Right, they love to stir the pot.

My guess is that this will backfire on Stellantis and more folks will buy Fords.

 

[Tall Timbers]

I'm wondering why it affects 900 US employees since the plants are in Canada and Mexico.

 

[Margery]

I'm wondering why it affects 900 US employees since the plants are in Canada and Mexico.

Chrysler changed the name to Stellantis to confuse everyone who had gotten used to Chrysler being the troubled always in debt, always on the verge of bankruptcy member of the big 3 automakers. It's always the one that nearly goes bankrupt but doesn't quite. New name, not such an automatic reference to their troubled past.

Economic weirdness affects the weakest members first. They have the least margin and reserve to play with.

I would imagine apart from the Ram truck line, that the others are barely making it sales wise. Just me speculating.

Any excuse to shut down the expensive car and truck factories, save on wages while still selling off unsold inventory. Save money on the back of the workers.

Since all the USA automakers rely on parts in Canada and Mexico, they are probably waiting to see how much more the parts will cost them, those parts that went North or South for Canada and Mexico to putz around with and send back to the States.

Because until they shut those factories outside the actual US border down for good, they will still have to machine those parts for the mother corporation in the States. Those parts are under tariffs - pretty steep ones as part of the steel and aluminum tariffs specifically and if I was running a car company like Chrysler (Stellantis) that is on the tightest of margins, I'd be waiting till I knew exactly what my costs were going to be before getting into further production.

So my thought is that the 900 US employees affected are the ones INSIDE the USA whose production lines are being purposely slowed down to avoid having to use the parts from Canada and Mexico just now.

 

[Tall Timbers]

Chrysler changed the name to Stellantis to confuse everyone who had gotten used to Chrysler being the troubled always in debt, always on the verge of bankruptcy member of the big 3 automakers.

Stellantis bought the troubled Chrysler. Stellantis is a Nederlands company. I like to congratulate Ram owners on their fereign truck. As an investor I read up on companies from time to time, and it seems that Stellantis has made a lot of mistakes with their Chrysler purchase. It'll be interesting to see what happens with Chrysler/Dodge down the road.

Chevy and Ford may be able to get old factories retooled and running relatively soon. When you think about it, it wasn't a good idea to send so much of what is sold in the USA out of the USA to be built. Decisions made for short term profits don't always make for a smooth road into the future. I understand that Ford has a truck factory in Canada for sales within Canada. All of the trucks I've purchased from Ford have been manufactured (or at least put together) in the USA, even all the ones I bought while in Alaska.

I imagine migrating parts manufacturing back to the US might take more time. Meanwhile, I hope I don't have to buy a vehicle for a long while. I hope we get Raptured before any of us need to purchase a new vehicle.

Things manufactured in the USA were known for quality. A lot has happened between when we had tons of manufacturing in the USA and when companies started off shoring because the US govmint got too greedy with corporate taxes and now. US K-12 graduates are uneducated and not overly motivated, generally speaking. Can the younger generations rise to manufacturing excellence? Will they show the same pride in their jobs as those that came before them did? We'll see.

If Trump wants parity or near parity with trading partners... we're gonna have to produce more than the USA currently is, I think. We're gonna need a lot more home grown steel, aluminium, plastics, etc.... so we're not having to import all that. Nearly everything from China is junk. We should do our utmost to extricate ourselves from anything made in China until something changes in that country.

 

[Margery]

Shows ya how focused I'm (not) on cars and trucks. I knew that Chrysler wasn't called Chrysler any more but not the details of why and how it happened.

If Trump wants parity or near parity with trading partners... we're gonna have to produce more than the USA currently is, I think. We're gonna need a lot more home grown steel, aluminium, plastics, etc.... so we're not having to import all that. Nearly everything from China is junk. We should do our utmost to extricate ourselves from anything made in China until something changes in that country.

YES x 1000.

Every country. Not just USA, but Canada and every other country around the planet.

It will avoid a lot of trouble if the Lord should tarry. I don't think He will tarry long, but we need to exercise the common sense He gave us, and develop our own abilities instead of being lazy and greedy to farm it out to others.

Because in the Trib, the various seals, trumpets and bowls will doubtless wipe out many, and the more spread out the manufacturing, the better.

Britt Gillette today was explaining how the whole mess came about - and it's related to the Bretton Woods agreement, going off Gold to the Petrodollar during the Nixon era. He explains it properly. Made my head hurt in spots, but when he drew the lines to the tariffs, the whole thing made sense. It's not just the debt crisis that Trump inherited from his feckless reckless past Presidents, but the whole international economy based on the Petrodollar that set things up for offshore production. (as in not just EPA, regulations and taxes)

- YouTube

Enjoy the videos and music you love, upload original content, and share it all with friends, family, and the world on YouTube.

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Ignore the click bait headline,- as I was going thru this I kept thinking of this thread, and what you've been saying about the need for the tariffs. @Spartan Sprinter I think you'd like it too!

In short, Britt agrees with you, AND he explains why Trump HAD to take this gamble, and why. Now in fairness to Britt, he also goes on to explain why it's going to fail, and how this points to the nearness of the Rapture BUT either way- if the Rapture is soon, this IS the dominoes falling into place.

If the Rapture is delayed a while, this will pay off. Heads we win, Tails the enemy still loses!

 

[Ghoti Ichthus]

I'm wondering why it affects 900 US employees since the plants are in Canada and Mexico.

So my thought is that the 900 US employees affected are the ones INSIDE the USA whose production lines are being purposely slowed down to avoid having to use the parts from Canada and Mexico just now.

It may also be the U.S. citizens, who cross into Canada to work in the Windsor factory every day, who temporarily lose their jobs.
Detroit to Windsor is a tunnel or bridge away.

Toluca is over 1400 miles away from the US-Mexico border, but workers in Mexican factories often take block vacations, so the factories shut down for that. Holy Week is during this time, so prime time for such vacations, even under normal circumstances.

 

[Ghoti Ichthus]

Pausing operations at auto plants is nothing unusual. Me thinks these pauses were already scheduled and are being blamed on tariffs. Sounds about right for the source AP news.

The workers get Holy Week off!!!