Donald Trump tariff impact: First impact of serious tariffs by Donald Trump: Stellantis closes Canada’s Windsor factory for two weeks
Windsor’s stellantis plant closed for two weeks
The report said the factory and Dodge chargers that employ 3,600 hours of workers will cease production from April 7 and will use tariffs as the main reason for the closure.
US tariffs affect Canadian automobile production
Unifor, a union representing factory employees, posted on its Facebook page, the company announced that new U.S. tariffs took effect Thursday, costing 25% on all cars, but reportedly reported global and mailing in addition to a portion of Canadian-made cars loaded with U.S. parts. Since about 50% of our parts are used in vehicles produced at the Windsor plant, this new tax has had a profound impact on the plant’s ability to maintain production. “The company said there are multiple factors that are working, and the main driver of the final decision was the announcement of U.S. tariffs by U.S. President Donald Trump,” the Unifor statement said. Unifor also added that according to the report, more changes are expected to occur in production plans.
Union warnings for wider consequences for the automotive industry
Unifor also warned that similar to comments from other industry experts, they expect North American auto production to gradually stop, and their comments will be in trouble, as global and emailed.
“This has and continues to create uncertainty throughout the automotive industry. This has affected not only our factories, but also the U.S. and Mexico,” the union wrote in the statement.
The industry cannot bear double-digit tariffs
Flavio Volpe’s auto parts manufacturer association head claims that the industry’s profit margins are below 10% and cannot afford double-digit tariffs, according to the Globe and the Globe.
“You can’t build a car without all the parts. You just need a major parts supplier or major automaker, and we won’t say that, hours before the announcement of the closure of the Windsor plant,” Volpe said.
FAQ
How long will the Windsor plants stay closed?
According to the report, the Windsor plant will be closed for two weeks starting April 7.
What products does Stellantis’ Windsor plant produce?
The Windsor plant reportedly produces minivans and Dodge chargers, reporting on globes and mail.
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