Breaking: Stellantis Temporarily Shuts Down Its Mexican Plant

Following last week’s announcement of the temporary closure of a factory in Windsor, Canada, the Stellantis Group has announced that its Jeep factory in Toluca, southern Mexico, will be put on hold. Specifically, this site, which employs 2,700 people and builds the Jeep Compass and Wagoneer S (electric) SUVs, will close its doors starting this Monday and for the entire month of April 2025, reports AFP.

900 employees on the floor… temporarily

In addition, Stellantis announced that the pace will be slowed in four parts factories in the United States to adapt production to the new customs duties on American imports introduced by Donald Trump. Surtaxes of 25%, which have been effective since Thursday, April 3, on all vehicles not manufactured in the United States and which potentially affect 7.3 million imported vehicles. As a result, approximately 900 employees will be laid off “temporarily” in the group’s factories located in Michigan and Indiana, Stellantis further indicated. For her part, regarding the shutdown until the end of April the Toluca factory, Mexican President Claudia Sheinbaum emphasized last Friday that no one had been laid off and that it was “a temporary stoppage to assess production needs,” particularly for electric vehicles whose market is still very limited in the United States

Resilience is needed

Finally, in a letter addressed to his employees at the end of last week, the American boss of Stellantis, Antonio Filosa, stated, “With the new customs duties on the automotive sector now in force in the United States, collective resilience and discipline will be required to get through this difficult period.”