Chrysler father or mother Stellantis STLA-N on Friday stated it can indefinitely halt operations at an meeting plant in Illinois in February, citing the rising prices to shift to electrical autos.
The Italian-American automaker, which employs about 1,350 staff on the Belvidere, Illinois, plant that builds the Jeep Cherokee SUV, stated the motion will lead to indefinite layoffs and added it could not resume operations because it considers different choices. The United Auto Staff union vowed to combat again in opposition to the announcement.
The corporate stated the auto trade “has been adversely affected by a large number of things like the continued COVID-19 pandemic and the worldwide microchip scarcity, however probably the most impactful problem is the growing value associated to the electrification of the automotive market.”
UAW Vice President Cindy Estrada stated the union was “deeply angered by Stellantis’ choice to idle the Belvidere Meeting plant with no plan for future product.”
Estrada famous Stellantis imports many autos into the USA and stated “corporations like Stellantis obtain billions in authorities incentives to transition to scrub power. It’s an insult to all taxpayers that they don’t seem to be investing that cash again into our communities.”
Underneath the UAW contract that expires in late 2023, Stellantis can’t completely shut the plant with out bargaining. Stellantis stated it could cease constructing the Compass in late February on the plant however didn’t say if it could proceed manufacturing of the SUV at one other plant.
This content material seems as supplied to The Globe by the originating wire service. It has not been edited by Globe workers.
