Stellantis to sell 2.95m sq ft Brampton plant to Roshel

Stellantis has signed an asset purchase agreement to sell its Brampton assembly plant — 2.95 million square feet of industrial space in Ontario, Canada — to Roshel, a Canadian defence technology company. The transaction value has not been disclosed, and the deal is due to close by the end of 2026, subject to closing conditions including government and regulatory approvals.

The sale marks the exit of the last volume carmaker from a site that built the Chrysler 300, Dodge Charger and Dodge Challenger until production ended in December 2023. It also hands the plant to a buyer outside the automotive sector for the first time in its history.

Stellantis CEO Antonio Filosa said: "With this announcement, we are driving forward our broader strategic goals, opening new opportunities for Stellantis in the defence industry and creating a path to return the Brampton facility to productive industrial use."

What does the agreement cover?

Beyond the plant and its related equipment, the two companies have agreed a cooperation framework to examine potential global collaboration in vehicle technologies and defence industry services. Stellantis frames that as a bridge into a sector where it currently has limited presence.

The OEM said the transaction supports its FaSTLAne 2030 strategy, which targets around 80% manufacturing capacity utilisation across North America by 2030. Shedding an idle site with no assigned product helps that arithmetic. Stellantis said the agreement provides a route for Brampton to return to industrial production and to support Roshel's expansion as a Canadian defence manufacturer.

Roshel, headquartered in Canada, produces armoured vehicles and defence technology. The company has not disclosed what output volume or product mix it plans for Brampton, so any capacity claims should be treated as intentions rather than confirmed production plans until Roshel details its program.

How did Brampton reach this point?

The site was built in 1986 and entered the Chrysler group through the purchase of American Motors Corporation in August 1987. Chrysler now operates as Stellantis North America.

Stellantis said in 2023 that it would build the next-generation Jeep Compass at Brampton. Retooling started in 2024, but the company paused the work in February 2025 while reassessing its North American product strategy. That pause, never reversed, set the plant on the path to divestment.

On labour, Stellantis said it remains ready to engage with Canadian trade union Unifor on a settlement for union-represented employees. No terms have been announced.

Outside Brampton, the company said it continues to employ more than 10,000 people in Canada, across:

• Windsor Assembly Plant
• Etobicoke Casting Plant
• Automotive Research and Development Centre in Windsor
• CpK operations

What is the financial backdrop?

The announcement follows Stellantis' third quarter results, published last month. The company maintained its annual guidance despite reporting another sizeable quarterly loss and a substantial cash outflow.

Third quarter net revenues increased 1% versus Q3 2025 to €37.6bn ($42.24bn). Against that margin pressure, monetising an idle 2.95 million square foot asset and trimming the North American footprint fits the cost discipline the company has signalled.

What to watch next

The closing timeline runs to the end of 2026, with government and regulatory approvals the key gating items. Watch for Roshel's first statement on planned output and jobs at Brampton, the outcome of the Unifor settlement talks, and any concrete projects emerging from the Stellantis–Roshel cooperation framework on defence vehicle technologies.