Ottawa: The federal government was actively involved in discussions regarding the agreement to sell the Stellantis car assembly plant in Brampton to armored vehicle manufacturer Roshel, according to revelations. Three high-level sources familiar with the matter confirmed that the government did not oppose this controversial deal during private negotiations.
Reports indicate that over the past few months, government representatives held over a dozen meetings with both companies to understand the details of the transaction. Although initial concerns were raised, the government ultimately imposed no bans or restrictions. Consequently, the government’s sudden public outrage following the deal surprised those involved in the talks.
Stellantis announced last Monday that the Brampton plant—which has been inactive since 2023 with more than 2,200 employees on layoff benefits—was sold to Canadian armored vehicle manufacturer Roshel. Roshel stated it plans to retool the facility for automobile and defense manufacturing and prioritize re-hiring laid-off workers, though it has not clarified how many jobs will be created.
However, government sources dismissed these claims, asserting they had communicated dissatisfaction with the proposals submitted by Stellantis. Officials highlighted that the automaker failed to meet the employment guarantees stipulated in its 2022 financial assistance agreement.
Roshel CEO Roman Shimonov expressed optimism that the agreement will be fully executed. Meanwhile, Stellantis has offered to return $24 million received for the Brampton plant. Reports also suggest that Stellantis intends to lease back 25 percent of the facility for electric vehicle assembly.
