Legacy Automakers in Transition: VW, Toyota, GM, Stellantis — 2026-09-13
Stellantis faces renewed uncertainty as its Belvidere plant reopening slips further, coinciding with potential closure risks at Brampton. Meanwhile, Japanese giants Honda and Nissan report a sharp turnaround from deficit to profit, contrasting with Volkswagen's continued struggle to stabilize profits amid restructuring. <!-- /headline --> **VW Profit Slump Contrasts With Honda-Nissan Turnaround**
Legacy Automakers in Transition: VW, Toyota, GM, Stellantis — 2026-09-13
Top developments
Stellantis’ Belvidere Reopening Delayed Again; Brampton Closure Risk Looms
Stellantis has announced that the reopening of its long-idled Belvidere Assembly Plant in Illinois has been pushed back yet again, continuing a timeline that has seen the facility dormant since February 2023. Simultaneously, reports indicate that the Brampton plant in Canada is facing a possible closure, adding pressure to the company’s North American footprint. This development matters as it signals ongoing structural inefficiencies and strategic hesitation in Stellantis' manufacturing network, impacting supplier confidence and union negotiations.
Honda and Nissan Pivot from Deficit to Profit
Honda and Nissan have successfully reversed their financial positions, moving quickly from "desperate" deficits to profitability. This turnaround follows earlier challenges with Trump-era tariffs and rising material costs that had severely impacted their bottom lines. The shift suggests that recent cost-cutting measures and pricing adjustments are finally yielding results for these Japanese automakers, distinguishing them from peers still struggling with margin compression.
VW Restructuring Continues Amid Sales Weakness
While specific new quarterly figures for VW were not released this week, recent reporting highlights that the company is deepening its restructuring efforts, including plans to cut up to 100,000 jobs and postpone factory closures. The German automaker continues to face weak sales in China and a general decline in global deliveries, forcing it to revise its sales forecasts downward. This ongoing transition underscores the difficulty legacy manufacturers face in balancing cost reduction with necessary EV investments.
Local view
In Japan, media outlets like Carview and Auto Post JP are highlighting the dramatic financial recovery of Honda and Nissan, framing it as a successful navigation of external shocks like tariffs and inflation. The narrative focuses on how these companies avoided bankruptcy fears by swiftly pivoting to profitability, contrasting sharply with the prolonged struggles of some European counterparts.
Context & numbers
Recent data indicates that U.S. new car sales fell by 6.6% in August 2026, with hybrid demand providing partial offset but not enough to prevent an overall market contraction. Globally, the EV segment shows polarization, with BYD losing ground (-18.5%) while Stellantis (+44.8%) and SAIC Motor (+102.5%) capitalize on growth, suggesting a shifting competitive landscape where traditional legacy players must adapt rapidly to maintain share.
On the radar
- Stellantis Union Talks: Unifor is expected to begin contract negotiations with Stellantis in early September, following deals with GM and Ford. The outcome could influence future investment commitments and plant stability in North America.
- GM Guidance: Investors are watching for any updates on GM’s raised full-year guidance, particularly regarding North American EBIT margins which improved by 2.5 points year-over-year in Q2.
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