Stellantis NV is to invest C$3.6 billion (US$2.8 billion) to retool two Canadian assembly plants to build electric vehicles (EVs), more than doubling an earlier commitment made during union negotiations.
Stellantis, formed from the merger of Fiat Chrysler Automobiles NV and PSA Group last year, is to add a new vehicle platform that can be used to make electric vehicles at its plants in Windsor and Brampton, Ontario, the company said in a statement on Monday.
The investments will restore employment at the two plants, which have suffered reductions in recent years.
Photo: Bloomberg
“These investments reaffirm our long-term commitment to Canada and represent an important step as we move toward zero-emission vehicles,” Stellantis North America chief operating officer Mark Stewart said in the statement.
Canadian Prime Minister Justin Trudeau, Ontario Premier Doug Ford and other Canadian officials attended an event in Windsor on Monday announcing the investment. Ford is expected to officially begin his campaign for re-election this week, with Canada’s most populous province going to the polls next month.
The federal government and the province of Ontario are to spend up to about C$1 billion to support the project.
The sprawling manufacturer of nameplates like Jeep, Ram and Fiat is investing US$35 billion globally through 2025 to beef up its electrification and software capabilities.
In March, Stellantis and LG Energy Solution said they would pour more than US$4.1 billion into a joint venture to build a new EV battery plant in Windsor. The 45 gigawatt-hour factory, which is expected to begin operations in 2025, are expected to create 2,500 jobs, and supply Stellantis’s assembly facility in Windsor and others across North America.
Windsor, which makes the Chrysler Pacifica minivan, is running on two shifts after cutting one-third in 2020. Its second shift is scheduled to be dropped at the end of this year.
The Brampton plant, which makes the Dodge Charger and Challenger muscle cars, would build at least one new all-electric model as part of the investment, the company said.
Both plants are expected to return to three shifts at a later date, the company said.
Meanwhile, Stellantis is to acquire the Share Now vehicle-sharing joint venture formed by BMW AG and Mercedes-Benz AG, a move aimed at tapping new revenue streams.
The company yesterday said its Free2Move mobility service brand would acquire Share Now, without naming a price.
Share Now, the European market leader, allows customers to use smartphones for short-term rentals of vehicles, including Minis or Mercedes-Benz A-Class vehicles in cities.
Free2Move offers app-based parking, leasing and rental services to its approximately 2 million customers.
Share Now provides so-called free-floating vehicle sharing services in 16 European cities and has about 3.4 million customers.
Over the next decade, Stellantis intends to expand Free2move’s presence worldwide, growing it to 15 million active users and achieving net revenues of 2.8 billion euros (US$2.94 billion).
Taiwan’s technology protection rules prohibits Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) from producing 2-nanometer chips abroad, so the company must keep its most cutting-edge technology at home, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. Kuo made the remarks in response to concerns that TSMC might be forced to produce advanced 2-nanometer chips at its fabs in Arizona ahead of schedule after former US president Donald Trump was re-elected as the next US president on Tuesday. “Since Taiwan has related regulations to protect its own technologies, TSMC cannot produce 2-nanometer chips overseas currently,” Kuo said at a meeting of the legislature’s
GEOPOLITICAL ISSUES? The economics ministry said that political factors should not affect supply chains linking global satellite firms and Taiwanese manufacturers Elon Musk’s Space Exploration Technologies Corp (SpaceX) asked Taiwanese suppliers to transfer manufacturing out of Taiwan, leading to some relocating portions of their supply chain, according to sources employed by and close to the equipment makers and corporate documents. A source at a company that is one of the numerous subcontractors that provide components for SpaceX’s Starlink satellite Internet products said that SpaceX asked their manufacturers to produce outside of Taiwan because of geopolitical risks, pushing at least one to move production to Vietnam. A second source who collaborates with Taiwanese satellite component makers in the nation said that suppliers were directly
Top Taiwanese officials yesterday moved to ease concern about the potential fallout of Donald Trump’s return to the White House, making a case that the technology restrictions promised by the former US president against China would outweigh the risks to the island. The prospect of Trump’s victory in this week’s election is a worry for Taipei given the Republican nominee in the past cast doubt over the US commitment to defend it from Beijing. But other policies championed by Trump toward China hold some appeal for Taiwan. National Development Council Minister Paul Liu (劉鏡清) described the proposed technology curbs as potentially having
EXPORT CONTROLS: US lawmakers have grown more concerned that the US Department of Commerce might not be aggressively enforcing its chip restrictions The US on Friday said it imposed a US$500,000 penalty on New York-based GlobalFoundries Inc, the world’s third-largest contract chipmaker, for shipping chips without authorization to an affiliate of blacklisted Chinese chipmaker Semiconductor Manufacturing International Corp (SMIC, 中芯). The US Department of Commerce in a statement said GlobalFoundries sent 74 shipments worth US$17.1 million to SJ Semiconductor Corp (盛合晶微半導體), an affiliate of SMIC, without seeking a license. Both SMIC and SJ Semiconductor were added to the department’s trade restriction Entity List in 2020 over SMIC’s alleged ties to the Chinese military-industrial complex. SMIC has denied wrongdoing. Exports to firms on the list
RSS