News that GM will be sending some production of the Chevrolet Equinox to their Ramos Arizpe, Mexico plant passed without much fanfare – GM’s PR machine was much more interested in touting the move of the Cadillac SRX to Spring Hill, Tennessee. While the Equinox’s move to Mexico will backfill capacity at that plant, it spells another blow for the future of GM’s Oshawa, Ontario plant.
The Equinox (and its GMC Terrain twin) is primarily built at GM’s CAMI plant in Ingersoll, Ontario. Currently overflow production is handled by Oshawa and Spring Hill. For the next generation, Ingersoll and Ramos Arizpe were in direct competition for the new crossovers, with Ingersoll eventually winning out.
The Theta crossovers (as the Equinox and Terrain are known internally) have been a big success for GM, necessitating the overflow production at two sites. But with the move to Mexico, it’s merely another bad sign for Oshawa, which has had a succession of product moving away from the plant, and absolutely nothing in the way of investment announcements or product commitments.
At this rate, Oshawa’s closing in 2016 (when GM’s bailout-related obligations to the Canadian government expire) is almost a certainty.