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Layoffs expected, as local auto industry reacts to new Trump tariffs

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Industry insiders say that layoffs at local car plants are a near certainty, CTV London's Bryan Bicknell has the details.

Layoffs in the region’s auto industry are a near certainty because of U.S. President Trump’s latest tariff escalation, according to industry insiders.

“I would think almost for sure. I would think potentially the entire Canadian industry could shut down in a couple weeks depending on how all this shakes out,” said Mike Van Boekel, plant chair for Unifor 88, which represents workers at CAMI Automotive in Ingersoll.

He was reacting to Trump’s promise to place a 25 per cent tariff on all vehicles made outside the U.S. as of April 3.

032725_auto tariff woodstock reaction London Mike Van Boekel, Unifor Local 88, speaks to CTV News London on March 27, 2025 (Bryan Bicknell/CTV News London)

The GM owned CAMI plant produces the Brightdrop electric delivery van for the North American market.

Unifor represents 1,300 workers at the plant. Van Boekel says the latest Trump salvo is unsettling.

“There’s a lot of anxiety right now. People are obviously worried. We just need some time right now to figure out exactly what’s going to happen with the tariffs and how it’s going to break down,” said Van Boekel.

Speaking at a news conference in Oshawa, Unifor national president Lana Payne said the union vows to fight back.

“We have had an auto industry in this country for well over a hundred years, long before we traded with the United States. And our union is going to fight to make sure that we have an auto industry employing Canadians for a hundred more years to come,” said Payne.

Non-unionized auto sector jobs may also be impacted by the tariffs. According to Driving.ca, 82 per cent of the vehicles produced at Toyota manufacturing plants in southern Ontario, including Woodstock, are destined for the U.S..

Woodstock auto dealer Bruce Grinton of Corcoran Auto Investments says the tariffs will cause higher prices on both sides of the border.

032725_auto tariff woodstock reaction London Dundas St. in Woodstock Ont., March 27, 2025 (Bryan Bicknell/CTV News London)

“New cars can’t help but go up in price if there’s tariffs on them, and auto makers will have to spread that around model to model, because you couldn’t have one model get a huge price increase, and another, not,” he said.

Grinton says the used car market will also take an indirect hit. “Right now, it’s very difficult to source inventory because the whole market is jittery and nervous. People aren’t buying as many new cars right now, and buying new cars is what creates used cars,” he explained.

Auto tariffs In this Dec. 21, 2006, file photo, an auto worker puts a wiring harness in an empty vehicle body during production of the General Motors' Chevrolet Equinox, Pontiac Torrent and the Suzuki XL7 at the CAMI Automotive facility in Ingersoll, Ontario, Canada. (Dave Chidley/The Canadian Press via AP, File)

Woodstock Mayor Jerry Acchione was not available for an interview on Thursday, but he issued a statement instead. In part, it said the following:

As details emerge and tariffs come into effect, we’ll continue to work with our local companies to understand their needs, the impact of the tariffs and how we can support them and their employees.

—  Woodstock Mayor, Jerry Acchione.

The statement went on to say Woodstock welcomes any federal government initiatives that could support the auto industry and its workers.