Stellantis agrees to sell Brampton plant to armoured vehicle maker Roshel - Toronto Star
The assembly plant has been idle since December 2023, when it shut down for retooling to produce a new version of the Jeep Compass.
The Stellantis vehicle assembly plant is shown in Brampton, Ont., on Wednesday, Oct. 15, 2025.
Stellantis says it has signed a memorandum of understanding to sell its idled Brampton assembly plant to armoured vehicle manufacturer Roshel, amidst stalled contract talks with the union representing its Canadian employees.
“Following consideration of a number of potential opportunities, Stellantis believes that Roshel represents a strong path to restoring sustainable operations at Brampton Assembly, preserving the site’s strategic role in Canada’s advanced manufacturing sector and helping to avoid a prolonged period of inactivity,” the company said in a statement Friday.
Earlier this year, Brampton Mayor Patrick Brown revealed that two Chinese electric vehicle manufacturers, including BYD, had inquired about taking over the idled Stellantis plant. Brown didn’t immediately respond to a request for comment Friday.
Roshel didn’t respond to a request for comment. The company, founded in 2016 and based in Brampton, already has a 400,000-square-foot manufacturing plant in Brampton, and another plant in Shelby Township, Mich. It has supplied armoured vehicles to police forces in the U.S. and Canada, and came under criticism in both countries for selling some of its vehicles to U.S. Immigration and Customs Enforcement (ICE). It has also supplied thousands of vehicles to Ukraine.
In April, Roshel signed an agreement with Sault Ste. Marie-based Algoma Steel to create a joint venture to produce ”ballistic steel,” with potential uses in military ship-building and armoured vehicles.
“Additionally, Roshel Algoma Defence will support the use of ballistic steel across other industries, including infrastructure, marine, aerospace and security platforms while creating opportunities to export Canadian-made ballistic steel solutions to allied countries,” Roshel said at the time.
According to published reports, the company is also bidding for a $4.9-billion contract to supply the Canadian Armed Forces with light utility vehicles.
The Stellantis assembly plant in Brampton has been idle since December 2023, when it shut down for retooling to produce a new version of the Jeep Compass.
Last year, the company paused the retooling, citing changing market conditions, including tariffs imposed by U.S. president Donald Trump. Stellantis subsequently shifted production of the Compass to U.S. plants.
Cars pass along the assembly line at the Stellantis plant in Brampton, Ont. on Friday, July 21, 2023.
Earlier Friday, Unifor, which represents Stellantis employees, including the 2,200 at the Brampton plant, said contract talks had reached an impasse, largely over the fate of the Brampton plant.
“The proposed facility closure and sale threaten the wages, pensions and other benefits of Unifor members. It also deals a devastating blow to Canada’s industrial sector, especially in the province of Ontario and the community of Brampton,” the union said. “There is no economic substitute for automotive assembly in Canada, including the extensive supply chain, regional economic activity, and high-quality, union jobs connected to it.”
Unifor has already reached agreements with Ford and GM earlier this year. Their contract with Stellantis expires Sept. 20.
The head of the Automotive Parts Manufacturers’ Association blasted Stellantis’s intended sale of the Brampton assembly plant, and said production of armoured vehicles would be just a fraction of the plant’s previous volumes.
“Canadians bailed out Stellantis’ Chrysler 2x — 1979 & 2009 for billions. Stellantis has 2029/30 model year vehicles it can assign to Brampton. Roshel can build LUVs anywhere, it doesn’t have to be there. Stellantis trying to sell it to Roshel in the middle of Unifor talks disrespects Canadians, suppliers & workers who are a major the reason the company still exists,” APMA CEO Flavio Volpe said in a post on X. “Peak production at the plant was over 1000 vehicles a DAY or $12-15B in annual production in today’s market. The LUV contract may be 2 or 3 vehicles per day or $1B a year.”
Josh Rubin is a Toronto-based business reporter. Follow him on Twitter: @starbeer.
