The Clap
Stellantis (NYSE:STLA) plans to idle a Jeep factory in Illinois to cut costs as it looks to increase EV efforts.
What
The factory will halt production at the end of Feb 2023, which will lead to more than 1,200 workers being indefinitely laid off.
The decision comes as Stellantis continues to struggle due to several factors such as the COVID-19 pandemic and the global microchip shortage.The biggest cost comes from the electrification of the auto market.
So What
The decision did not sit well with many parties, with the decision being labeled as misguided and unacceptable especially given the upcoming holiday season.
Now What
The company is still undecided on what the factory will be used for going forward.
