Stellantis invests $388 million in Metro Detroit Megahub to enhance service
The company said this is to further advance efficiency and sustainability of its Mopar service parts distribution network. The new facility is expected to open in 2027.
'Our customers count on us to deliver the right part, at the right time, every time,' said Darren Bradshaw, senior vice president and head of Mopar North America.
'With the Metro Detroit Megahub, we're building a faster, smarter, and more reliable parts distribution network that puts their needs first. This investment reflects our commitment to innovation, sustainability, and operational excellence, while also creating a modern, high-tech workplace for employees.
A feature of the Megahub will be AutoStore automated storage and retrieval system. It uses robots that navigate tracks above storage bins, grabbing parts and delivering them as they are needed. AutoStore will help speed up the process in the facility, while maximizing storage and giving more accurate delivery times for customers and dealers.
Stellantis recently sold its Michigan parts distribution centre in Center Line and Marysville, and one in Milwaukee, Wis. Operations will continue under a sale-leaseback agreement, giving service until the Metro Detroit Megahub and Warren Sherwood e-coat upfitting facility are finished.
Staff from the Center Line, Warren, Warren Sherwood, and Milwaukee parts distribution centres will be part of the Megahub's workforce.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CTV News
an hour ago
- CTV News
Brampton mayor slams Trump's new tariff hike as local auto jobs hang in the balance
Brampton Mayor Patrick Brown discusses how the newly levied U.S. tariffs will impact his city and its residents. Brampton Mayor Patrick Brown is warning that thousands of local auto sector jobs are now in jeopardy following a major escalation in the U.S.-Canada tariff war, calling the new penalties 'foolish, misguided, (and) unjustified.' Brown's comments come in response to U.S. President Donald Trump's latest trade move — hiking tariffs on all Canadian goods not covered under the the U.S.-Mexico-Canada trade agreement from 25 to 35 per cent. The White House says the crackdown is partly due to Canada's alleged failure to stop fentanyl smuggling, but Brown says the economic fallout in cities like Brampton will be severe, especially with Stellantis, the world's fourth-largest carmaker, previously announcing they would be halting the reopening of a major automotive plant that was expected to create 3,000 jobs. 'Very nervous about our automotive jobs' 'We have an unpredictable U.S. President right now that is causing havoc to our economy,' Brown told CP24 on Friday morning. 'This is not something that we tolerate as a country. There are families that are going to be unable to provide for themselves because of these foolish, misguided, unjustified tariffs.' Brown said the decision by Stellantis to pause the reopening of its Brampton assembly plant — originally being retooled to manufacture electric vehicles — will leave at least 3,000 workers in limbo, along with 'thousands more' in the local supply chain. 'I'm very nervous about our automotive jobs,' Brown said. 'But I'd also say there's a supply chain that supports these auto plants, and we have just as many jobs in that supply chain that are at risk.' The delay, comes as Stellantis hopes to counteract some of the 1.5 billion-euro (US$1.7 billion) cost of tariffs this year. Record setting drug busts across the GTA While the White House has linked the new tariff hike to Canada's alleged failure to stop drug smuggling, Brown has since rejected that claim outright. 'I sit on the Peel Police Services Board. I can tell you 99.9 per cent of the drugs that come into our country come through our U.S. border,' he said. 'There's a problem with this contraband coming in, not from Canada to the U.S., but from the U.S. to Canada.' In fact, it should be noted that Toronto and Peel police have already recently made record-setting drug busts, including Project Castillo, which intercepted $83 million in cocaine trafficked from Mexico through the U.S., and Project Pelican, a joint probe that seized nearly 500 kilograms of cocaine smuggled by commercial trucks across the American border. 'If the U.S. administration is going to be stubborn about these tariffs, there needs to be consequences in retaliation,' Brown said. He pointed to Peel Region's own procurement rules, which now exclude American companies, and encouraged a united Canadian response across all levels of government. A souring relationship continues Brown said the U.S. stands to lose just as much if the trade relationship continues to fray. 'I had U.S. mayors telling me they depend on Canadian salt for winter maintenance. There are so many different products the U.S. relies on,' he said. 'We need to show the U.S. administration the consequences of not having a great relationship with our closest friend and neighbor.' He also expressed concern that Canadian companies may be forced to relocate across the border just to survive. 'I'm very concerned,' he said. 'This could lead to businesses moving to the States because it's more affordable. And that's a tragedy for our workers.' Still, Brown was clear that he believes this crisis won't last forever. 'This U.S. President does not define the United States,' he said. 'And in a matter of years, he will no longer be the U.S. President.'
CBC
2 hours ago
- CBC
Ontario, Michigan business groups jointly warn of 'crisis' if Canada, U.S. can't reach trade deal
Two groups representing businesses in Ontario and Michigan are urging Canada and the U.S. to get a trade deal done in order to avoid prolonged instability. "Prolonged instability could have serious consequences for key sectors, from automotive and advanced manufacturing to agriculture and logistics," a joint statement Friday from the Ontario and Michigan chambers of commerce said. "This is not just a trade story, it's a North American competitiveness crisis. The chambers are calling on both governments to return to the negotiating table." The statement comes after the two countries failed to come to some sort of agreement by an Aug. 1 deadline. U.S. President Donald Trump signed an executive order on Thursday boosting tariffs from 25 per cent to 35 per cent on Canadian goods that don't comply with the Canada-U.S.-Mexico Agreement (CUSMA). Michigan and Ontario form one of the largest trade corridors between the two countries. The two jurisdictions are largely connected via the integrated auto sector. In addition to the 35 per cent tariffs on non-CUSMA compliant goods, Trump has also slapped a 25 per cent levy on the non-U.S. portion of assembled vehicles. The U.S. has also imposed 50 per cent tariffs on steel and aluminum imports from all countries. Prime Minister Mark Carney released a statement just past midnight on Friday saying Canada will continue to work toward a deal while focusing on providing supports for impacted industry and diversifying trade. "Canada will be our own best customer, creating well-paying careers at home, as we strengthen and diversify our trading partnerships," the statement said. Trump's order cites "Canada's lack of co-operation in stemming the flood of fentanyl and other illicit drugs across our northern border" — even though Canada accounts for a small percentage of drug seizures entering the U.S. But a White House official gave CBC News a different explanation for the lack of an agreement with Canada, saying on background that Canada "has repeatedly demonstrated a lack of seriousness in trade discussions as it relates to removing trade barriers." Trump gave Mexico, which accounts for the majority of drug seizures at the U.S. border, a 90-day extension of its current tariff regime with the goal of signing a new deal during that period. 'No deal better than a bad deal' Other Canadian business groups also expressed concerns about the lack of an agreement, but say it's better that Canada take its time rather than accept a bad deal. The Canadian Chamber of Commerce says it feels spending a little bit more time on crafting the right deal is well worth the wait because it will deliver lasting benefits. However, the group also feels businesses in Canada and the U.S. urgently need more certainty. Dan Kelly, the president and CEO of the Canadian Federation of Independent Business (CFIB), blasted the U.S. administration for its tariff rationale. "The hike in U.S. tariffs to 35 per cent will harm small businesses on both sides of the border. The fentanyl rationale is even more ridiculous than the decision itself," Kelly said in a statement. "CFIB supports the view that no deal is better than a bad deal, but the lack of resolution means small firms will not be able to plan for the future or continue to put off difficult choices."
CTV News
a day ago
- CTV News
Trump's EPA is targeting key vehicle pollution rules. What that means for carmakers
DETROIT — The U.S. Environmental Protection Agency's plan this week to relax rules aimed at cleaning up auto tailpipe emissions is the latest Trump administration move to undo incentives for automakers to go electric. As part of a larger effort to undo climate-based governmental regulations, the EPA on Tuesday said it wants to revoke the 2009 finding that carbon dioxide and other greenhouse gases endanger public health and welfare. That would cripple the legal basis for limiting emissions from things like power plants and motor vehicles. U.S. President Donald Trump's massive tax and spending law already targets EV incentives, including the imminent removal of a credit that saves buyers up to US$7,500 on a new electric car. The tax law approved in early July also includes another provision that will hit Tesla and other EV makers in the pocketbook — repealing fines for automakers that don't meet federal fuel economy standards. Automakers can buy credits under a trading program if they don't meet the mileage standards. EV makers like Tesla, which don't rely on gasoline, earn credits that they can sell to other carmakers. The arrangement has resulted in billions of dollars in revenue for Tesla and millions for other EV makers like Rivian. That is all set to go away under the new law. Trump has also challenged federal EV charging infrastructure money and blocked California's ban of new gas-powered vehicle sales. It adds up to less pressure on automakers to continue evolving their production away from gas-burning vehicles. And that's significant because transportation — which also includes ships, trains and planes — is the sector that contributes the most to planet-warming emissions in the U.S. Push and pull on tailpipe and mileage rules Stringent tailpipe emissions and mileage rules were part of the Biden administration's pledge to clean up the nation's vehicles and reduce use of fossil fuels by incentivizing growth in EVs. EVs do not use gasoline or emit greenhouse gases. The Trump administration and the auto industry have said both rules were unreasonable for manufacturers. Automakers could meet EPA tailpipe limits with about 56 per cent of new vehicle sales being electric by 2032 — they're currently at about eight per cent — along with at least 13 per cent plug-in hybrids or other partially electric cars, and more efficient gasoline-powered cars that get more miles to the gallon. The latest mileage targets set under the Biden administration required automakers to get to an average of about 81 kilometres per gallon for light-duty vehicles by model year 2031, and about 35 miles per gallon for pickups and vans by model year 2035. But U.S. Department of Transportation Secretary Sean Duffy pressured the National Highway Traffic Safety Administration earlier this year to reverse the rules, and has recently said Biden's inclusion of EVs in calculating them was illegal. NHTSA will likely reset or significantly weaken them. The fines that are going away Then there are the fines that automakers will no longer face for falling short on the fuel economy rules. 'With the signing of the One Big Beautiful Bill, new penalties for automakers not complying with an illegal fuel economy standard designed to push EVs will be zero,' NHTSA spokesman Sean Rushton said in a statement. Some legacy automakers have paid hundreds of millions of dollars in penalties for not meeting them. Just last year, Jeep-maker Stellantis paid US$190.7 million for model years 2019 and 2020, and General Motors paid US$128.2 million for the 2016 and 2017 model years. Automakers that didn't meet the standards could also instead buy credits from carmakers that did — or even surpassed them — such as Tesla. That provision earned Tesla US$2.8 billion in 2024 — revenue it will no longer see. Elon Musk sharply criticized the big tax-and-spending bill in June, saying it 'gives handouts to industries of the past while severely damaging industries of the future.' Tesla did not immediately respond to a request for comment on the law's effect on those credits. The agency wrote to carmakers earlier this month informing them the penalties wouldn't be issued from the model year 2022 onward. Some automakers confirmed receiving the letter but declined to comment further. Experts say without them, the law 'invites automakers to cheat on government fuel economy rules by setting fines to US$0, ensuring consumers will buy more gas guzzlers, pay more at the pump and enrich Big Oil,' said Dan Becker, director of the Center for Biological Diversity's Safe Climate Transport Campaign. Ann Carlson, an environmental law professor at the University of California, Los Angeles, and a former acting NHTSA administrator under Biden, called it a 'stunning decision' for NHTSA to essentially forgive the fines from 2022 onward. She said it amounted to a windfall for companies that chose to pay penalties rather than produce more efficient cars. Carlson said backing away from future fines also 'poses a dilemma for auto manufacturers who may feel bound to comply with the law, even if there is not a financial consequence for failing to do so.' Where auto manufacturers go from here It takes a while for carmakers to shift their product lines, and experts say automakers might be locked into their technology and manufacturing decisions for the next few model years. But changes could come for model year 2027 and beyond, they said. EVs aren't as profitable as gas-engine cars, so automakers may make fewer of them if they no longer have to offset emissions from their gasoline models. Already, some automakers have pulled back on their ambitions to go all-electric with a slower pace of EV sales growth. 'Automakers also know every presidential administration eventually comes to an end, so they won't abandon their EV development efforts,' said Karl Brauer, executive analyst at 'But they will reduce their near-term efforts in this area.' ___ Alexa St. John, The Associated Press
