General Motors (GM) has temporarily halted the production of its electric commercial van, the BrightDrop EV, at the CAMI Assembly Plant in Ontario, Canada.
This decision is in response to slower than expected sales and will result in the temporary layoff of 500 workers, as confirmed by Unifor, the union representing the employees.
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The production pause, however, is not due to the recent imposition of auto tariffs, reported Reuters.
GM has communicated to Unifor that the CAMI Assembly will undergo temporary layoffs, with employees scheduled to return to work in May for a reduced production schedule.
Subsequently, the facility will cease operations until October 2025. In the interim, GM will be retooling the plant to gear up for the production of commercial electric vehicles for the 2026 model year.
Upon restarting in October, the plant will shift to a single-shift operation. This is expected to result in the indefinite layoff of approximately 500 workers.
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By GlobalDataThe automaker was cited by Reuters as saying in a statement that it “remains committed to the future of BrightDrop and the CAMI plant and will support employees through the transition.
“This adjustment is directly related to responding to market demand and re-balancing inventory. Production of BrightDrop and EV battery assembly will remain at CAMI.”
The CAMI Assembly Plant, represented by Unifor Local 88, began producing BrightDrop EVs in early 2023. The facility employs over 1,200 workers.
In response to the GM’s move, Unifor is urging government intervention to support Canadian workers, enhance the country’s industrial strategy, and promote domestic products through procurement.
Unifor National President Lana Payne said: “This is a crushing blow to hundreds of working families in Ingersoll and the surrounding region who depend on this plant.
“General Motors must do everything in its power to mitigate job loss during this downturn, and all levels of government must step up to support Canadian auto workers and Canadian-made products.”
Last week, CNBC reported that GM plans to suspend the Cadillac XT6 crossover production at its Spring Hill assembly plant in Tennessee, US by the end of this year.
The decision is part of Cadillac’s broader strategy to transition to an all-electric lineup, encompassing cars, crossovers, and SUVs.
