Ford says Ontario offering more money to Stellantis, feds say deal is close

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Ford says Ontario offering more money to Stellantis, feds say deal is close
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Ontario is offering more money in a bid to keep automaker Stellantis from pulling out of building an electric-vehicle battery plant in Windsor, Ont., Premier Doug Ford said Friday.

Stellantis and LG Energy Solution announced last year that they were building the $5-billion plant, but have in recent days stopped construction and warned they were implementing contingency plans because the federal government hasn't lived up to an agreement to match subsidies on offer in the United States.

"I think we have a common understanding on the way forward," Champagne said from Washington, D.C., where he was attending meetings. Kwon and Stellantis CEO Carlos Tavares wrote last month to Prime Minister Justin Trudeau, saying Ottawa had confirmed in writing five times that it would match production incentives under the United States' Inflation Reduction Act, but has not delivered on those commitments.

Ford said earlier this week he was disappointed with how the federal government has handled the issue, since the province didn't make those production subsidy commitments, but said he was working with officials in Ottawa. The Stellantis battery plant would supply its car manufacturing factories in North America and employ about 2,500 people. Auto parts makers expect the plant to create about 10,000 indirect jobs.

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