Federal Minister of Industry, François-Philippe Champagne.
For his part, Minister Champagne welcomed this information which demonstrates Canada's growing reputation as an ecological supplier of choice and world leader in electric vehicles.
News that Honda is considering a major investment in Canada is a testament to the quality of our workforce and the strength of our industry.
A quote from François-Philippe Champagne, Federal Minister of #x27;Innovation, Science and Industry
Canada has made considerable efforts in recent years to attract players in the electric vehicle sector, touting its tax incentives, clean energy and many rare minerals.
In December, the federal government confirmed that all new passenger vehicles sold in Canada in 2035 must be electric.
Canada's strategy is in line with that of its largest trading partner, the United States, whose major climate plan called the Inflation Reduction Act (IRA) provides for billions of dollars in subsidies for green industries. p>
Prime Ministers Justin Trudeau and François Legault as well as Ministers François-Philippe Champagne and Pierre Fitzgibbon are present at this press conference of the Swedish company Northvolt.
Honda plans to build its first electric vehicle factory in North America in the state of Ohio in partnership with LG Energy with production planned for 2026.
LG has already partnered with Stellantis, another automaker, to build a $5 billion battery factory in Windsor, Ontario. This is one of several major investments in electric vehicles that have been announced in recent months in Canada, most of which are associated with significant subsidies.
< p class="StyledBodyHtmlParagraph-sc-48221190-4 hnvfyV">Volkswagen is also building a battery plant in St. Thomas, Ontario, and Northvolt is building one about 30 kilometers east of Montreal.
The three factories are expected to cost tens of billions of dollars in subsidies linked largely to production volumes.
Honda announced in 2022 that it would invest $1.38 billion to upgrade its Alliston plant, in part to prepare it to become the main plant of its CR-V hybrid crossover vehicle.
The company is only this year launching the sale of its first fully electric vehicle in Canada, the Prologue , with limited quantities expected during the first year of production.
With information from Agence France-Presse and The Canadian Press< /em>