About this Episode

Stellantis, the multinational auto giant that absorbed the legacy of Chrysler, has been part of Canada’s industrial backbone for a century. With roughly 10,000 workers across the country, its footprint is significant, though still smaller than some of Canada’s oil sands heavyweights. Yet unlike those energy companies, which have faced years of political hostility, the auto sector is now being reshaped by government decisions that may prove just as damaging.

At the centre of the issue is a reported plan for Stellantis to partner with a Chinese firm, Zhejiang Leapmotor Technology Co., to produce electric vehicles in Canada, potentially at an idled plant. On paper, it sounds like investment. In practice, it raises serious concerns about who actually benefits.

This development follows a recent agreement that would allow up to 49,000 Chinese-made electric vehicles into Canada annually. The stated goal was to open trade, but the reality appears lopsided. Instead of expanding Canadian exports, the deal risks flooding the domestic market with foreign vehicles. Vehicles that, crucially, cannot be sold into the United States.

That limitation matters. Canada’s auto industry has long depended on access to the U.S. market, a relationship dating back to the Auto Pact that has generated tens of billions in economic activity. Undermining that access in favour of a narrow domestic market is not just risky, it’s potentially devastating.

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