Stellantis (STLA) has been told by the Canadian government that it is in default on its public financial support after the company moved production to a US plant, news outlets reported Thursday, citing Industry Minister Melanie Joly.

Canadian governments have pledged more than 500 million Canadian dollars ($358 million) to back Stellantis' plans for two assembly plants in the country, the reports said.

But Stellantis cancelled plans to make Jeep Compass SUVs in Brampton, Ontario and instead moved production to Illinois, leaving 3,000 people without a car to produce, the reports said.

"When it comes to protecting auto jobs, we'll not let these industries down," Joly was quoted as saying by the CBC.

Stellantis did not immediately reply to MT Newswires' request for comment. CBC quoted a Stellantis spokesperson as saying, "We do not agree that we are in breach of contract."