Stellantis has halted vehicle production at multiple assembly plants in Mexico after a labor dispute with the Independent Workers Union of Saltillo, SITSAM. The stoppage began on March 26, 2026, and affects key facilities in Saltillo, Coahuila, and Toluca that build RAM and JEEP models for export to the United States.
The conflict centers on negotiations over wage increases, working conditions, and union representation rights. Union leaders say 100 percent of shifts have been idled, and no vehicles rolled off the assembly lines as of March 27. Stellantis employs more than 15,000 workers across the affected sites.
Among the models sitting idle are the RAM 1500 and the JEEP Compass, both important volume generators for the US market. Company spokespeople have confirmed the shutdown and said Stellantis is committed to resuming operations swiftly through dialogue with union representatives.
Analysts warn the stoppage will add pressure to an already strained supply chain. With global trade tensions and nearshoring trends reshaping parts flows, experts estimate daily losses in the millions, with potential delays to customer deliveries and downside risk to second quarter earnings.
The dispute underscores growing labor activism in Mexico’s auto industry, where foreign automakers have invested heavily and workers are pressing for higher pay amid persistent inflation. Stellantis, formed from the merger of Fiat Chrysler Automobiles and PSA Group, also faced major labor disruption in the United States during the UAW strikes of 2023.
No timeline for a resolution has been announced. Mediation efforts are underway as both sides seek a negotiated settlement, while industry observers note the episode highlights vulnerabilities in North American production networks for multinational OEMs.
Source: https://www.cbtnews.com/cbt-automotive-newscast-march-27-2026/
