What's new
Mopar Insiders Forum

Register a free account today to become a member! Once signed in, you'll be able to participate on this site by adding your own topics and posts, as well as connect with other members through your own private inbox!

Stellantis Puts New Jeep® Compass Plans on Hold at Brampton

Stellantis Puts New Jeep® Compass Plans on Hold at Brampton​

Automaker Temporarily Pauses Production Plans...​


1740104565568.png

Stellantis has announced a temporary pause on the development of the next-generation Jeep® Compass (J4U) at its Brampton Assembly Plant in Ontario, Canada. The move comes as the automaker reevaluates its North American product strategy, creating uncertainty for Canadian autoworkers and local suppliers.

 
The Compass is a vital vehicle for Jeep here in America and globally. It is too important to be strapped with tariffs and this halt in construction suggest the operations will move to an American factory. Stellantis realizes that this administration is serious and frankly, the resistance of Canada and Mexico on key demands is foolish and counter productive. I believe the UAW has a role to play too by considering cost cutting measures in labor contracts to help auto companies with the transition of manufacturing fully to the states. Agree or not it’s happening and the sooner the better as these new products are needed immediately. I have little doubt this shut down is a realization that foot dragging is useless.
 
Hasnt Stellantis (FCA) been delaying every new model for the last decade, at least this time they have a real excuse.

USA have to figure out a way to bring manufacturing back on their soil and ask why they all left in the first place.

This is not a vehicle i would be interested in purchasing but they are important to the brand and company overall.

Ontario voted from for trudea in the last 3 elections and we all now what Mr Trump thinks of that, so he careful what you wish for.
 
Stellantis has to figure out, and very quickly, what consumers want and what they are willing to pay for it. The tariff situation leads the pause, but the electrification puzzle must be solved as well. It now appears that the zero emissions mandates are dead in the US. What is the real market for battery electric vehicles? What degree of electrification do people want in their vehicles? Batteries are heavy and costly, so what is the ratio of ICE/battery that customers actually want.
 
Stellantis has to figure out, and very quickly, what consumers want and what they are willing to pay for it. The tariff situation leads the pause, but the electrification puzzle must be solved as well. It now appears that the zero emissions mandates are dead in the US. What is the real market for battery electric vehicles? What degree of electrification do people want in their vehicles? Batteries are heavy and costly, so what is the ratio of ICE/battery that customers actually want.
My wife and I absolutely love our reliable and satisfying and aging Cherokee but are also postponing replacing it until Jeep gets its act together. By now it’s clear, all electric is a dead horse for most folks and gas and hybrids are what’s viable, but not those annoying plug in hybrids for most. I’d prefer a Pentastar V-6 or Hurricane six but might consider a pure hybrid with a Hurricane four. I think my thinking represents about 95% of the population, so the answer for you and Jeep are the same, shelve the all electric for about twenty years. It’s that simple. Problem solved.
 
It’s more likely that Stellantis is reassessing its global footprint.

With a rogue administration in Washington that defaults on treaty obligations and randomly changes policies every couple of hours, the risk of investing capital in an unreliable market like North America is very high. An investment strategy that made sense yesterday can easily become a money loser when the incompetent administration decides to launch another hot-take-based tariff.

With unemployment skyrocketing, inflation ballooning, job security melting down, and interest rates soaring, selling expensive North American made cars into a market that is rapidly weakening requires reassessment. Given that the USA is now a secondary market in importance for a worldwide automaker, it’s no surprise that the company would pause its investments here.

There’s little money to be made here compared to the risks.
 
It’s more likely that Stellantis is reassessing its global footprint.

With a rogue administration in Washington that defaults on treaty obligations and randomly changes policies every couple of hours, the risk of investing capital in an unreliable market like North America is very high. An investment strategy that made sense yesterday can easily become a money loser when the incompetent administration decides to launch another hot-take-based tariff.

With unemployment skyrocketing, inflation ballooning, job security melting down, and interest rates soaring, selling expensive North American made cars into a market that is rapidly weakening requires reassessment. Given that the USA is now a secondary market in importance for a worldwide automaker, it’s no surprise that the company would pause its investments here.

There’s little money to be made here compared to the risks.

North America and V8s / V6s, historically, made all the profit for FCA/Stellantis, and these powertrains are only coming back because Trump got elected. I am absolutely satisfied thus far - I'm getting exactly what I voted for. Go look at Trump's approval rating by the way, it's at an all time high.

Go back to Allpar with this trash, you'll find a gullible enough audience there.
 
It’s more likely that Stellantis is reassessing its global footprint.

With a rogue administration in Washington that defaults on treaty obligations and randomly changes policies every couple of hours, the risk of investing capital in an unreliable market like North America is very high. An investment strategy that made sense yesterday can easily become a money loser when the incompetent administration decides to launch another hot-take-based tariff.

With unemployment skyrocketing, inflation ballooning, job security melting down, and interest rates soaring, selling expensive North American made cars into a market that is rapidly weakening requires reassessment. Given that the USA is now a secondary market in importance for a worldwide automaker, it’s no surprise that the company would pause its investments here.

There’s little money to be made here compared to the risks.
I have to imagine the theatrics in international relations has a lot to play into this and is what I read when people talk about "dynamic" environment. Tariffs, EV or no EV, and costs of building goods (again tariffs) are all huge changes that a large system like the automotive pipeline can't easily adjust to w/o taking large risks.

No matter your political ideology, there is no doubt that abrupt changes to a complex system will throw it into high failure rate. Did we not already learn that by other administrations trying to move to EVs too fast....

The erratic jack rabbit is fast out of the gate but the slow and steady tortoise wins the race.....
 
Wasn't that thing still years away? Thats also a big plant for just one vehicle, one vehicle that was very close to cherokee in size and cost that may not do so well if the next cherokee is well. Trump wont tariff US vehicles, might threaten it, but he wont. All that'll do is help the asians that build in America. He also doesn't have much runway considering how long it takes to plan and build a vehicle.
 
North America and V8s / V6s, historically, made all the profit for FCA/Stellantis, and these powertrains are only coming back because Trump got elected. I am absolutely satisfied thus far - I'm getting exactly what I voted for. Go look at Trump's approval rating by the way, it's at an all time high.

Go back to Allpar with this trash, you'll find a gullible enough audience there.
Trump looks at things in a black/white context, and fails to see the details of his decisions. First of all, the North American auto industry is highly integrated between all three countries for a reason, and in such a way that it focuses on the strengths and efficiencies of each. He also isn't "pulling back" jobs, as Canada has had an auto industry since cars were invented, but what do you think the Canadian and Mexican response would be if Trump was successful at dismantling their ability to produce North American cars? They'd turn on a dime and adopt European auto standards, attract different automakers, while simultaneously shutting out American cars. Canadians could easily swap out Chevrolet with Citroen, and the Mexicans could easily swap out Lincoln with Lancia.

Your president's inability to understand nuances could see legendary brands like Dodge and Chrysler shrink in size and importance to just the US market, selling to only American consumers. Instead of thinking big, his policies are more likely to make American car brands less relevant in our connected world.

Oh, and his approval rating is not at an all-time high, and it's been slipping for a reason.
 
Trump looks at things in a black/white context, and fails to see the details of his decisions. First of all, the North American auto industry is highly integrated between all three countries for a reason, and in such a way that it focuses on the strengths and efficiencies of each. He also isn't "pulling back" jobs, as Canada has had an auto industry since cars were invented, but what do you think the Canadian and Mexican response would be if Trump was successful at dismantling their ability to produce North American cars? They'd turn on a dime and adopt European auto standards, attract different automakers, while simultaneously shutting out American cars. Canadians could easily swap out Chevrolet with Citroen, and the Mexicans could easily swap out Lincoln with Lancia.

Your president's inability to understand nuances could see legendary brands like Dodge and Chrysler shrink in size and importance to just the US market, selling to only American consumers. Instead of thinking big, his policies are more likely to make American car brands less relevant in our connected world.

Oh, and his approval rating is not at an all-time high, and it's been slipping for a reason.

How many near death experiences does CDJR have to go through, with a EUROPEAN OWNER, for you to realize that we do not need Europe, period.

Stellantis is CDJR's biggest threat to its existence, just as Daimler was.


90% of STLA US profit US is entirely STLA Large/STLA Frame. This is your glorious global automaker? Give me a friggin break - there is zero STLA Large/STLA Frame sold in Europe. Upcoming Compass is STLA Medium with a 1.3 PSA engine + hybrid. Oh, and STLA Medium will make exactly zero/negligible profits in the US.

Just give us a V8 or V6 pickups, Wranglers, Grand Cherokees, and Durangos, and keep the other costs and complexity to yourself. We don't need this glorious global automaker complexity, really. Customers have voted with their wallets, time and time again. This whole thing is kept afloat by seven vehicles - Wrangler, Gladiator, Grand Cherokee, Ram 1500, Durango, and Charger/Challenger twins. Wagoneer is iffy. Somewhat profitable, but didn't exactly hit the mark. Cherokee was also iffy, basically broken even. Compass is affordable, but does not bring in profits.

Canada can get the import US and Europe scraps, they're not a meaningfully profitable region except for the dwindling set of well heeled Canadians (that haven't fled to the US) that buy one of the seven vehicles I've cited above, that maybe brings in $100 million in profit a year.

Anyways, you can all thank Trump for saving this company, because it sure as hell wasn't going to sell EVs and low displacement four bangers in rack up any profits in the US in the alternative scenario.
 
Last edited:
Canadians could easily swap out Chevrolet with Citroen, and the Mexicans could easily swap out Lincoln with Lancia.
Are there any GM products still made in Canada? Most Lincolns are built in China and not Mexico. Anymore, Chevrolets are either made in Korea, China or assembled in the US with Chinese parts. The exceptions of course are pickup trucks and the Tahoe/Suburban. Even then those products are picking up more imported parts content.

The irony is that when the EV mandates stop, it will save the battery electric powertrain. Market forces will filter back in, advances will occur at a natural pace, and government bureaucrats won't be picking favorites from among competing technologies. Battery electric has found a home in delivery vans, and most likely small urban vehicles. Onboard ICE generators will probably reduce the need for massive amounts of batteries in large electric pickup trucks, SUVs and big passenger cars.
 
Back
Top