General Motors Canada says it will reduce production at its Oshawa assembly plant this fall, citing tariffs imposed by U.S. president Donald Trump, and falling demand.
“GM’s Oshawa Assembly will return to a two-shift operation in light of forecasted demand and the evolving trade environment,” the company said in a statement Friday morning. “These changes will help support a sustainable manufacturing footprint as GM reorients the Oshawa plant to build more trucks in Canada for Canadian customers.”
The Oshawa assembly plant produces light and heavy versions of the Silverado pick-up truck, which is also made in Mexico and the U.S.
Unifor officials slammed the move, which they estimate will cost 700 union workers their jobs at the assembly plant, and another 1,500 elsewhere, including at parts manufacturers.
“We will not allow GM to barter Canadian jobs to gain Donald Trump’s favour. Cutting the third shift at Oshawa Assembly is a reckless decision that deals a direct blow to our members and threatens to ripple through the entire auto parts supplier network,” said Unifor national President Lana Payne. “GM needs to reverse this short-sighted move before more damage is done.”
Payne also said the move shows disrespect for Prime Minister Mark Carney’s upcoming discussions on trade with the U.S.
“GM’s move is premature and disrespectful — jumping the gun before Prime Minister Carney and President Trump even begin their talks on a new economic deal,” Payne said.
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,” Ford 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.”
The move comes a day after the U.S. said Canadian-made auto parts which comply with the Canada-U.S.-Mexico trade agreement won’t be hit with a 25 per cent tariff.
More to come.
With files from The Canadian Press