Wednesday, August 4, 2021
News A Canadian GM Engine Plant Set To Close Next Year

A Canadian GM Engine Plant Set To Close Next Year

This is another setback for GM assembly line employees in Canada as an engine-block assembly line in Ontario will close next year.

In this case, the Windsor, Ontario plant which built engine blocks for Cadillac vehicles assembled in China will be closing sometime midway through 2020. Mexico-based Nemak, an automotive parts manufacturer which runs the plant, says that the closure is due to the loss of a Chinese client which purchased 90% of all unit built here.

What’s odd in the original story published by Reuters is that there’s no mention if Cadillac in China is the actual client. The closest relevant detail is that GM’s Shanghai facility no longer needs the supplied parts.

Regardless, the 270 employees at the plant will be out of work within a year. The decision to shut down the line is simple enough: no business can run when 10% or less of its output is to be purchased. Currently, the plant is running at 25% which was a clue that things were not going to end well…

This is a direct result, according to Nemak, of the current Chinese economy slowdown. Late last year, some employees were laid-off with some re-hired in February. Some cuts were performed only a few weeks ago but now it’s official.

Nemak of Canada Corporation Windsor Plant
Nemak of Canada Corporation Windsor Plant | Photo: Nemak

Nemak of Canada Corporation Windsor Plant
Nemak of Canada Corporation Windsor Plant | Photo: Nemak

Trending Now

Automotive Supplier Says Chip Shortage Could Last Longer Than Pandemic

Global shortages of semiconductor chips continue to hamper auto industry Automakers looking at ways to solve supply issues A company that provides connectivity and...

Jeep Prices Gorilla Glass Option, Adds Gecko to Gladiator

Gladiator Gecks out with new paint colour option Factory Gorilla Glass option cheaper than a windshield deductible Jeep has just announced that it is...

Glenfiddich Using Scotch Waste to Power Green Trucks

Green delivery trucks are green in colour as well as emissions No, officer, it's my tailpipe. I swear This time you can have one...

BMW i4 Becomes Official Safety Car of MotoE Series

Electric pace car takes over from BMW i8 Reveal later this month ahead of fall market launch Electric motorcycle racing has just gotten a...

Audi Sends RS 3 Around Nurburgring To Smash Class Lap Record

Audi's all-new RS 3 sedan was just revealed a few weeks ago, but it's already setting records. This time, Audi claims the compact five-pot...
Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.