By Abdul Matin Sarfraz | Canada’s National Observer
Premier Doug Ford is threatening to sue General Motors for breaking its contract with Ontario after the company announced it will end production of its BrightDrop electric delivery vans at the Ingersoll plant, affecting about 1,200 jobs.
Speaking with reporters at Queen’s Park on Tuesday, Ford said he was very disappointed by GM’s decision and warned the company it must keep its promise to find a new product for the CAMI Assembly plant.
“If they breach their contract, we’re going to sue them, simple as that,” Ford said. “They know they breached a contract, and we’re going to make sure we get another vehicle in that area.”
Ford said GM told him the BrightDrop vans were not selling and about 4,000 vehicles were sitting unsold.
In a statement, the company said demand for electric delivery vans has fallen short of expectations, with production at the Ingersoll plant running below capacity.
The company blames weaker market growth, shifting regulations and the loss of US tax credits, saying the move is part of broader adjustments to its North American EV operations.
“The decision to end production of the BrightDrop electric delivery van is driven by market demand and in no way reflects the commitment and skill of our workforce at CAMI,” said Kristian Aquilina, president and managing director of GM Canada. “This continues to be an uncertain time for our workforce at CAMI, and we are committed to working closely with our employees, Unifor and the Canadian and Ontario governments as we evaluate next steps for the future of CAMI.”
In a statement, the company said demand for electric delivery vans has fallen short of expectations, with production at the Ingersoll plant running below capacity.
The announcement comes amid broader concerns in Canada’s auto sector, as companies brace for the impact of US tariffs and shifting consumer demand. Production at CAMI had already been paused since May.
The federal and Ontario governments each committed up to $259 million in 2022 to support General Motors’ investment in its Oshawa and Ingersoll plants. The funding was part of a larger $2-billion plan by GM to boost electric vehicle production in Canada.
A key part of that investment was focused on launching BrightDrop, GM’s electric commercial van brand. The CAMI plant in Ingersoll was retooled to produce BrightDrop Zevo vans and became Canada’s first full-scale EV manufacturing facility.
At the time, it was projected the CAMI facility would produce up to 50,000 electric BrightDrop vans annually by 2025 to meet expected demand.
Federal Industry Minister Mélanie Joly said the federal government is deeply concerned about GM’s decision and its impact on workers and their families. In a statement, she said Ottawa is setting up a response group to defend the affected jobs and confirmed that workers will have access to six months of financial support. “Our auto workers deserve nothing less,” Joly said.
‘It can’t get any worse,’ says mayor
Ingersoll Mayor Brian Petrie told Canada’s National Observer the decision is devastating for the town and the region.
“This is not the way we thought things were going to work out,” he said. “In a town of 12,500 people, it can’t get any worse. This is our largest employer, our largest taxpayer and most importantly, there are 1,200 families now in a much worse situation than before.”
Petrie said the impact will ripple beyond the plant, affecting restaurants, stores and suppliers across southwestern Ontario. He said he received only a courtesy call from GM shortly before the public announcement.
While he has spoken with the Ontario Ministry of Labour and local MPs, Petrie said it is still too early to know what specific support will be available.
“The most important thing is remembering that these are real people, real families being affected.”
Unifor blames Trump policies
Unifor, which represents workers at the Ingersoll plant, called the shutdown “the latest casualty of the Trump administration’s dangerous and destabilizing auto policies.”
“CAMI was hit from both directions by Trump,” said Unifor National President Lana Payne in a statement. “He acted to undo EV supports and hit Canadian auto assembly plants with a 25 per cent tariff. Now more than 1,000 workers and their families are paying the price for Trump’s political interference and GM’s failure to hold the line.”
Payne said after billions in public funding to support Canada’s EV industry, the federal government must ensure companies cannot simply walk away when market conditions tighten. Canada, she added, needs a stronger industrial strategy that protects auto jobs, resists US trade pressure and ensures public investments deliver lasting employment.
“We have a lot of members with decades of dedication to GM who are now abandoned,” said Unifor Local 88 President Mike Van Boekel. “These are highly skilled workers who delivered for this company and this community. They deserve a future at CAMI, not a dead end.”
Unifor said it will meet with GM and both levels of government to push for a new product mandate to secure the plant’s future.
Province promises support
In an email response, Ontario Economic Development Minister Vic Fedeli’s office said the government is in close contact with GM and Unifor following the announcement.
“GM knows that their Ontario operations are integral to their success and that is why they are exploring new opportunities for their Ingersoll plant,” said Fedeli’s press secretary, Jennifer Cunliffe.
She said the province will use every tool available, including the $20-million Protect Ontario Workers Employment Response program, to support affected workers.
“We will review GM’s decision closely to ensure all agreements are respected and enforced.”
Calls for a stronger EV strategy
The opposition also criticized the Ford government for lacking a long-term plan to protect auto manufacturing jobs.
“Ontario’s auto sector is taking blow after blow and Doug Ford has not presented a plan,” said Ontario Green Party Leader Mike Schreiner. “The Ford government must step up, support workers and get serious about a made-in-Ontario EV strategy to protect our auto sector.”
He urged all levels of government to work together to counter the impact of US policies and invest in Ontario’s clean-technology manufacturing.
