General Motors thought it could treat Canada like a side note.
Close a plant. Pocket the subsidies. Move on.

But this isnât the Canada of 10 or 20 years agoâand GM just found that out the hard way.
For decades, Canadian workers kept GM alive through recessions, supply-chain shocks, and endless restructuring. Ottawa poured billions into loans, incentives, and EV subsidies on one basic understanding: if Canada backed GMâs future, GM would back Canadaâs workers.
Then came the betrayal.
GM quietly wound down operations at the CAMI plant in Ingersoll, Ontarioâfirst calling it a âtemporary production adjustment,â then letting months pass in silence. No new model. No restart plan. No real communication. By October 21, 2025, the truth finally came out:
The plant wasnât pausing.
It was dead.

Over 1,200 workers werenât just losing jobs. An entire community was losing its backbone. Ingersoll had grown around that plant. Families built mortgages, educations, and retirements on the promise that GM was in Canada for the long haul.
GM took the money. GM took the loyalty.
Then GM walked.
What GM didnât count on was the new Ottawaâand MĂ©lanie Joly.
Instead of issuing a sad press release and moving on, the Canadian government did something no one in Detroit expected: it fought back.
Just three days after GM confirmed the closure, Ottawa pulled a lever almost no one outside the trade world even knew existed: the Automatic Tariff Adjustment Mechanism.
It sounds dry. Itâs not.
Behind that bland name is a weapon: a built-in punishment tool designed to reward companies that keep jobs in Canadaâand punish those that cash the cheques and cut and run.
Overnight, the government cut 24.2% of GMâs duty-free import quota.
That meant one thing:
Every GM vehicle built in the United States and sold into Canada would now face a 25% tariff.
Prices on U.S.-made GM vehicles in Canada jumped by thousands of dollars. Suddenly, GMâs âcheapâ U.S. production wasnât so cheap anymore.
And they werenât alone.

Chrysler, after shifting its Jeep line to Illinois, saw half its trade incentives vanish. The message to Detroit was crystal clear:
If you rip jobs out of Canada, Canada will rip profits out of your balance sheet.
This wasnât a tantrum. It was a surgical strike.
While GM executives hid behind PR statements, Joly and Industry Minister François-Philippe Champagne dropped the diplomacy and called it what it was: broken commitments. In blunt, formal letters, Ottawa accused GM and Stellantis of taking billions in public money and failing to uphold their obligations.
Then came the ultimatum.
GM was given 15 days to present a credible plan to restart production at CAMI, including a new model. No spin. No vague promises. Either show how youâre bringing work backâor brace for more financial pain.
At the same time, workers werenât treated as an afterthought. Unifor and local representatives were brought into the conversation. The people who actually build the cars finally had a government willing to fight like hell for them.
Meanwhile, the fallout in Detroit was immediate.
That $45,000 cost to build a vehicle in the U.S.? Once it crossed into Canada with the new tariffs, it might as well have been $56,000 or more. Dealers couldnât move inventory. Buyers balked. Parking lots filled with unsold GM vehicles cooking under the sun.
Ford started scrambling to reassess its own strategy. Stellantis quietly swapped out its Canadian CEO. GM, suddenly staring at millions in extra costs, began calling Ontario officials to talk about âoptionsâ for Ingersoll.
The same corporations that once used Canada as a bargaining chip were now asking for meetingsâinstead of dictating terms, they were begging for clarity.
Behind all of this, thereâs a human story GM never bothered to understand.
Think about a single mother in Ingersoll. Twelve years on the line. Nights, weekends, overtimeâbecause CAMI was supposed to be secure. When GM first announced a âpause,â she cut spending, tightened her budget, and trusted that a company backed by billions in public funds wouldnât just vanish.
Then October came.
âPermanent closure.â
No real warning. No real plan.
While executives talk about ârestructuring,â sheâs worrying about groceries, rent, and whether benefits will arrive before the bills do.
Thatâs who MĂ©lanie Joly was really fighting for.
Her actions werenât about punishing businessâthey were about ending a dangerous habit: the idea that multinationals could treat Canada as a doormat. Take the subsidies, offshore the jobs, and still expect VIP treatment at the border.
Those days are over.
The GM showdown marks something bigger than one plant. Itâs the moment Canada stopped playing the quiet junior partner in North American manufacturing and started acting like what it truly is: an independent economic power with leverage, strategy, and a spine.
GM thought it could outsmart Canada.
Instead, it taught Canada just how powerful it really is.
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