Bad news for Brampton

Gas prices are high, the Canadian dollar is high, and demand for station wagons - especially Hemi-powered station wagons - is low. That's why Chrysler is killing the Pacifica and the Dodge Magnum (plus the Crossfire and PT Cruiser convertible), leading to massive layoffs in Brampton, Ontario:

Chrysler Canada will cancel one shift and eliminate more than 1,000 jobs at its Brampton assembly plant early next year.

The company confirmed today that it will stop producing the Dodge Magnum wagon at the plant during the first quarter of 2008 as part of a program to reduce its lineup because of slow North American sales.

Chrysler plans to also kill the Chrysler Pacifica wagon at its Windsor assembly plant later this month, but did not indicate the impact on jobs. The plant has started producing a new generation of minivans whose demand may offset the loss of the Pacifica.

Buzz Hargrove says Ottawa must pressure Japan and South Korea to open up their automotive markets, and I agree with him - on that point, at least. But if you think Detroit is out of touch now, just imagine what the Big Three would be building if they got the protected market the CAW wants, and didn't have to compete with Toyota and Hyundai.

Amazing fact: after the cuts go through, Chrysler and Toyota will have approximately the same number of workers in North America.

Damian P.

Posted by damian at November 2, 2007 01:39 PM