Deputy PM Freeland vows Stellantis /LG plant will go forward By Investing.com

Canada Deputy Prime Minister Chrystia Freeland spoke in the House of Commons Monday, answering questions and providing assurances that the Stellantis NV (NYSE:) /LG (KS:) battery plant will move forward in Windsor Ontario.

“The answer absolutely is yes,” she said under questioning by NDP leader Jagmeet Singh. “We will ensure the deal goes forward. We will ensure the jobs will stay in Canada. That is why we have a $120-billion clean-economy plan.”

However, Freeland emphasized the importance of the Ontario government fulfilling its financial obligations in order to finalize the agreement, considering the significant economic benefits the province stands to gain from the manufacturing investment in Windsor.

Recent reports indicate that the Ontario government has increased its initial commitment of $500 million towards the project.

“We are going to ensure that Ontario pays its fair share because this is an investment in a particular province and we know that Canada is a country of regions and regional equity is really important,” Freeland said.

“We are going to ensure the company comes forward with a reasonable offer, as well.”

The Unifor Auto Council released a statement highlighting the importance of the deal.

The NextStar plant will serve as a “lynchpin” for battery supply to Stellantis’ vehicle assembly plants in Brampton and Windsor supporting thousands of workers, the council said.

“On behalf of Unifor’s Auto Council representing more than 20,000 workers at Stellantis, General Motors (NYSE:) and Ford Motor Company (NYSE:), we call on all parties to conclude these negotiations, without further delay,” the statement said.

Shares of STLA are down 1.23% in afternoon trading on Tuesday.