Honda announced today a significant strategic shift, revealing plans to invest $11 billion into establishing Canada’s inaugural EV supply chain capable of manufacturing 240,000 Honda electric vehicles annually for the Canadian and US markets. This initiative marks a major pivot for the company towards electric mobility.
The investment, slated to be the largest of its kind in Canada, will encompass the construction of an EV production facility and a dedicated EV battery plant in Alliston, Ontario. Upon completion, these facilities will boast an impressive annual production capacity of 240,000 vehicles, accompanied by a battery plant capable of producing 36 GWh per year.
Part of this comprehensive investment strategy involves collaborating with key partners like POSCO Future M and Asahi Kasei Corp to establish cathode active material and precursor plants for battery production. Additionally, Honda will join forces with LG Energy Solution to build a dedicated battery factory, underscoring the collaborative nature of this ambitious undertaking.
With production slated to commence next year, Honda aims to transition to a fully electric vehicle lineup by 2040, with this monumental investment serving as a pivotal step towards realizing that vision. This bold move not only signals Honda’s commitment to sustainability and innovation but also positions Canada as a burgeoning hub for electric vehicle manufacturing and technology.
