General Motors’ Canadian subsidiary announced on Friday that it will temporarily pause production and reduce staff at an assembly plant in Ingersoll, Ontario, due to lower-than-anticipated demand for its electric delivery vehicles.
According to GM Canada, the decision to halt production at the CAMI Assembly for the majority of the spring and summer is linked to the market demand and high inventory levels of the BrightDrop vehicle. The company clarified that this decision is not influenced by the tariffs imposed by the United States on Canadian vehicle production.
In a statement, company spokesperson Jennifer Wright explained that GM Canada is implementing “operational and employment adjustments to balance inventory and align production schedules with current demand.” She emphasized the company’s ongoing commitment to maintaining BrightDrop production at the CAMI plant and supporting employees throughout the transition period.
Unifor, the largest private sector union in Canada, expressed that the decision to suspend and subsequently reduce vehicle production is detrimental to union members, their families, and the entire Ingersoll community.
The union indicated that after a brief reopening in May, the plant will remain idle until October, after which it will operate on a single shift. This change is expected to result in the indefinite layoff of approximately 500 workers.
This information was initially reported by Fortune.com.
