GM Canada says it plans to cut a shift at its Oshawa Assembly Plant due to updated demand forecasts and the evolving trade environment.
The company said Friday that it will move from a three-shift to two-shift operation to “help support a sustainable manufacturing footprint as GM reorients the Oshawa plant to build more trucks in Canada for Canadian customers.”
“We are implementing a plan to keep building here for Canadians for another 100-plus years,” the company said in a statement.
“The company will work with our partners to support employees through the transition.”
Unifor called the move a “reckless decision that deals a direct blow to our members and threatens to ripple through the entire auto parts supplier network.”
The union urged GM to reverse its decision, which it said is set to take effect in the fall.
It comes on the heels of U.S. President Donald Trump’s imposition of a 25 per cent tariff on Canadian-built vehicles, which came into effect on April 3.
“GM’s move is premature and disrespectful — jumping the gun before Prime Minister (Mark) Carney and President Trump even begin their talks on a new economic deal,” said Unifor national president Lana Payne in a press release.
“Trump’s tariffs are designed to crush Canadian production — but GM doesn’t get a free pass to abandon its commitments, and the U.S. doesn’t get to free ride in Canada.”
Ontario Premier Doug Ford called the announcement “extremely tough” news for autoworkers in Oshawa.
“These are hardworking people who have helped build Ontario’s auto industry,” he said in a post on X, noting GM has reaffirmed its commitment to the Oshawa plant.
Ford said the province would continue working to support a strong future for the facility.
“In the face of economic uncertainty caused by the chaos of President Trump’s tariffs and tariff threats, we will continue to fight every single day to attract new investment, secure good-paying jobs and support workers and their families.”
Last month, GM Canada said it was also temporarily halting production and cutting staff at its CAMI plant in Ingersoll, Ont., because of lower-than-expected demand for its electric delivery vehicles.
Meanwhile, Stellantis confirmed Thursday it will close its auto assembly plant in Windsor, Ont. for a week starting May 5. The company said that closure was due to preparations for the upcoming launch of the 2026 model year Chrysler Pacifica, Chrysler Grand Caravan, Chrysler Voyager and Dodge Charger Daytona.
The company said it “will continue to monitor the situation.”
The auto sector did get relief earlier this week when U.S. Customs and Border Protection guidance released Thursday said automobile parts compliant with the Canada-U.S.-Mexico Agreement on trade will not be hit with Trump’s tariffs.
The Big Three — Ford, General Motors and Stellantis — had been lobbying the Trump administration for months, saying the duties would drive up prices and devastate the North American industry. General Motors CEO Mary Barra warned on Thursday that the tariffs could cost the company up to $5 billion.
This report by The Canadian Press was first published May 2, 2025.
Note to readers:This is a corrected story. A previous version incorrectly stated that GM Canada said it plans to cut shifts, rather than a shift, at its Oshawa Assembly Plant.
