Stellantis Offers to Repay Brampton Funding as Plant Sale to Roshel Sparks Political Backlash

Stellantis has offered to voluntarily return government funding tied to its idle Brampton, Ontario assembly plant following a firestorm of political criticism over its decision to sell the facility to Canadian defence contractor Roshel. Prime Minister Mark Carney called the sale "a betrayal of the workers" and "a betrayal of the obligations to Canada" on Tuesday, escalating the dispute into a national policy issue.

The funding at stake

Ottawa pledged up to C$529 million in 2022 to support retooling at Stellantis' Brampton and Windsor plants. According to reporting, C$222 million was actually paid to Stellantis' Canadian operations between 2023 and 2025. Stellantis has offered to return the government support "received for Brampton Assembly's original retooling plan" but has not disclosed the exact amount it expects to repay.

Political fallout

• PM Carney: Called the situation "unacceptable" and a violation of multiple government agreements.
• Unifor President Lana Payne: Condemned the sale, saying Stellantis abandoned its commitments to workers. More than 2,000 employees were laid off when Brampton stopped production in 2023.
• Conservative Leader Pierre Poilievre: Criticized the government, calling for Industry Minister Mélanie Joly's dismissal and demanding return of taxpayer funding.

What happens next

Under the agreement announced Monday, Roshel plans to establish an advanced manufacturing centre at the Brampton site. However, its CEO has declined to assume responsibility for rehiring all former Stellantis employees. Industry Minister Joly will meet with Stellantis, Unifor, and provincial representatives in Toronto on Thursday. The proposed sale remains subject to government and regulatory conditions, with closing expected by the end of 2026.

For the Canadian EV ecosystem, the Brampton saga underscores the fragility of large-scale manufacturing commitments when global corporate strategy shifts. The plant had been earmarked for EV production as part of the federal retooling incentive, but Stellantis' broader strategic retreat — including a $26 billion charge on its EV strategy — left the facility idle. The fight over repayment of public funds will likely shape future government auto-investment policy and the conditions attached to future EV manufacturing deals in Ontario.

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