Friday, April 3, 2020
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

The Paris Auto Show, As We Know it, Is Cancelled

Organisers plan related events in its stead. The Mondial de l’Auto of Paris was to take place from October 1st-11th. The reason is...

2020 Detroit Auto Show Cancelled, Will Resume in 2021

2020 North American International Auto Show scheduled for June in Detroit is cancelled The TCF Center will be used as a field hospital...

Teased Hyundai Palisade N Shouldn’t Be An April Fools Joke

Hyundai teases Palisade N on its Instagram account The Hyundai Palisade is a decent three-row mid-size SUV quite capable of playing in the same...

A New Ford Mustang Mach 1 Is Coming Next Year

It will replace the Bullitt as the special non-Shelby Mustang Mach 1 is a trim steeped in Mustang history. Odds are that 480-horsepower...

Honda And GM Join Forces To Build Honda’s Future EVs

The vehicles will be built on GM’s flexible global EV platform and ultium batteries. Sales to begin in 2024 for the US and...
Matt St-Pierre
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 1,400 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.