Prime Minister Justin Trudeau and Ontario Premier Doug Ford, along with Honda executives, are likely to say today that the Japanese car company is going to build a factory for making batteries for electric vehicles in Alliston, Ontario. This is part of a $15 billion plan to invest in the area.
Experienced people who know about the project say that Honda is changing its assembly plant in Alliston so it can make electric cars.
The $15-billion project has a new factory and an electric car battery plant nearby, and two other factories in Ontario making key parts for the batteries.
There might be some money from the government to help with the project, but it’s not a special deal with extra money to persuade a company to build in Ontario instead of the United States.
The government wants to give an Electric Vehicle Supply Chain investment tax credit of 10% to help companies like Honda. This would be on top of the 30% Clean Technology Manufacturing Investment tax credit they already get.
Honda is building a new electric car battery plant in Ontario. This will be the third one in the province, after Volkswagen. Thomas and a Stellantis LG factory are in Windsor.
Honda’s agreement also includes two important suppliers for their batteries – cathodes and separators. The places where these facilities will be located will be announced later.
The agreement happened after Honda bosses and the Ontario government had lots of meetings and talks that started after the last big government announcement at Honda’s Alliston facility.
Trudeau, Ford, and Honda bosses were there in March 2022 when the car-maker said they would start making hybrid vehicles at the factory. The government is giving $131. 6 million to help with the project.
This made people start talking about putting more money into electric cars. Talks about this started in the summer, the sources said.
The Canadian Press released this report on April 25, 2024.
Date:
Honda anticipated to reveal its EV battery factory in Ontario
