Construction stops at Windsor EV battery plant site, Stellantis says feds have ‘not delivered’

Stellantis has confirmed that building has stopped on the Windsor EV battery plant web site.

In an announcement Stellantis stated “the Canadian Government has not delivered on what was agreed to therefore Stellantis and LG Energy Solution will begin implementing their contingency plans.”

“Effective immediately, all construction related to the battery module production on the Windsor site has stopped,” stated a revised assertion on Monday.Stellantis and LG Energy Solution EV battery plant building web site in Windsor, Ont., on Monday, May 15, 2023. (Sijia Liu/CTV News Windsor)

News of the potential stoppage of the challenge got here after the Toronto Star reported Friday that Stellantis might scrap plans for the Windsor plant if provincial and federal governments didn’t increase funding. This, after Volkswagen was provided hefty subsidies from the feds — to the tune of $13 billion to construct in St. Thomas.

Ontario Premier Doug Ford informed reporters Monday he’s involved.

“It really worries me. You know, we need the federal government to step up as they did for Volkswagen. We’ve signed a deal with Stellantis months ago, quite some time ago actually, on infrastructure – and we gave them the exact same amount as we gave Volkswagen.”

He added that they want the federal authorities to return to the desk and present their help like they’ve all alongside.

“They’ve been great partners, by the way, and every deal that we made, so we need them to work with Stellantis and I know the mayor Dilkens is quite concerned as well and so am I.”

An announcement from the mayor’s workplace stated its focus is on discovering an answer that can profit the group.

“The City of Windsor is fully committed to utilizing all available resources in order to gather vital information, stay well-informed, and be prepared to offer assistance in any capacity necessary to reach a resolution to the impasse between Ottawa and all involved parties,” the statement said. “The potential impact on our community is significant, with thousands of jobs at risk. Windsor has fulfilled its responsibilities and commitments for the NextStar EV plant, and negotiations between the parties are ongoing. Our collective focus remains steadfast on assisting to find a constructive solution for the benefit of our community.” 

Windsor-Tecumseh MP Irek Kusmierczyk stated Saturday that he’s assured building will proceed.

“I want to reassure residents in our community that we are absolutely committed to this project,” Kusmierczyk stated.

Kusmierczyk harassed that Prime Minister Justin Trudeau and Finance Minister Chrystia Freeland are additionally engaged in discussions to achieve an settlement.

“Everyone recognizes, all the partners recognize, that this is a generational investment and really, this is the future of the auto sector,” Kusmierczyk stated. “It’s the future of Canada and our community and I can tell you that all partners are absolutely committed to this project, both to the battery plant investment and also the investment at Windsor assembly plant.”

Freeland stated Monday she is “confident” the deal will undergo, however is hoping the province may even step up. 

“When it comes to Stellantis, we are very supportive of this investment and I am absolutely confident that we’re going to get a deal. But I also want to point out that the resources of the federal government are not infinite,” she stated. “And we are counting on Ontario to do its fair share, and we’re counting on Stellantis to be reasonable.”

In an emailed assertion to CTV News Monday, a spokesperson for Francois-Philippe Champagne, federal minister of innovation, science and business, stated the federal government is continuous negotiations. 

“The auto industry is crucial to the Canadian economy and to the hundreds of thousands of Canadian workers in this sector. That’s why Minister Champagne has worked tirelessly to secure the future of Canada’s auto industry,” the assertion stated. “We continue to negotiate in good faith with our partners. Our top priority is and remains getting the best deal for Canadians.”

In a letter launched on Saturday, Windsor Mayor Drew Dilkens stated he expects the federal authorities to comply with by on commitments that may see one of many world’s greatest automakers construct an EV battery plant in east Windsor.

Meantime, Windsor West MP Brian Masse stated he’s been in contact with the mayor’s workplace, native Unifor management, and the federal the Minister of Innovation, François-Philippe Champagne.

“It’s concerning there’s no doubt,” Masse informed CTV News. “But I’m not surprised that there’d be some type of attempt to renegotiate or do something different just because we don’t have a national auto policy.”

– With information from CTV News Windsor’s Chris Campbell.

This is a growing story. More particulars coming.