Stellantis says Canada\u0027s government has not delivered on what was promised in deal for the EV battery plant.
Stellantis, which makes Chrysler, Ram and Fiat cars among others, and South Korean battery-maker LG Energy Solution announced the plant last year and said it was expected to create 2,500 jobs.Sign up to receive the daily top stories from the Financial Post, a division of Postmedia Network Inc.By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc.
“As of today, the Canadian government has not delivered on what was agreed to therefore Stellantis and LG Energy Solution will begin implementing their contingency plans,” the company said in a statement on May 15. “Effective immediately, all construction related to the battery module production on the Windsor site has stopped.”Article contentOntario Premier Doug Ford said the federal government needs to support Stellantis in the same way it did Volkswagen. A recently announced deal with that company to build an electric vehicle battery plant in St. Thomas, Ont., includes subsidies worth up to $13 billion plus a $700 million grant.
“It really worries me,” Ford said after an unrelated announcement in Mississauga, Ont. “We need the federal government to come to the table and show their support like they have all along.” The province put up $500 million for both deals, Ford said, and is ensuring roads and energy for the plant.“We’ll go toe to toe with any state down in the United States,” he said. “The only thing we can’t do is go toe to toe with the U.S. federal government. That’s the federal Canadian government’s job, and they can do it. We’re confident that they made a promise to the people of Windsor – I was down there with the prime minister – now they need to keep their promise to the people in Windsor.
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