OTTAWA — A Commons committee has received an unredacted version of a contentious funding agreement between the Canadian government and Stellantis, an auto manufacturer, after a prolonged dispute lasting over a month and a half. The agreement, which involves hundreds of millions of dollars in public funds, was handed over on Thursday.
On the same day, Industry Minister Mélanie Joly informed another Commons committee that the government is issuing a notice of default to Stellantis. This action follows the company's decision to shift production of a Jeep model from Brampton, Ontario, to the United States. The move has resulted in thousands of employees being furloughed, as Stellantis announced an “operational pause” at its Ontario assembly plant in October.
The notice of default indicates that the federal government may be preparing to take legal action against Stellantis. The government accuses the company of violating a contract signed in 2022, which promised up to $529 million in funding to support its plants in Windsor and Brampton.
The unredacted contract was provided to members of the government operations committee by the Industry department (ISED) on Thursday. However, it was not made available to the public or media. This development concluded a growing debate over Parliamentary Privilege and a conflict between ISED, Stellantis, and the committee, which had requested the full contract on October 20. Prior to this, ISED had only released a redacted version, citing the need to protect the company’s “commercially sensitive” information.
Stellantis has faced criticism from both government and opposition parties following its announcement to pause operations at the Brampton plant and relocate the Jeep Compass production line to the U.S. Additionally, the company recently revealed a $13 billion investment in its U.S. operations. In response, the Liberal government has accused Stellantis of failing to meet its contractual obligations and initiated a dispute resolution process on November 3, aiming to recover some of the funds allocated to the company.
During the committee meeting, Stellantis executive Teresa Piruzza was questioned by MPs about the company's apparent retreat from its commitments in Canada. Liberal MP Vince Gasparo raised concerns about the $13 billion investment in the U.S., asking if it was indicative of the company misusing Canadian taxpayer dollars.
“Does Stellantis have a values problem, that they say one thing at one time to get whatever capital they need, and then change their messaging when the environment is convenient for them?” Gasparo asked Piruzza.
In her defense, Piruzza stated that Stellantis's commitment to Canada is evident, citing the billions invested in recent years and the progress made. She emphasized that the company is actively seeking a solution for the Brampton plant and clarified that it is not closed but rather on an “operational pause.”
“We will honour our agreement,” she assured the committee.

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