Honda to invest nearly $15 billion in Ontario

Honda Canada is investing approximately $15 billion to create what’s being called Canada’s first comprehensive electric vehicle supply chain, located in Ontario.

This large-scale project will see four new manufacturing plants in Ontario. Honda will build an electric vehicle assembly plant – the first of its kind for Honda Motor Co. Ltd. – as well as a new stand-alone battery manufacturing plant at Honda’s facilities in Alliston, Ontario. To complete the supply chain, Honda will also build a cathode active material and precursor (CAM/pCAM) processing plant through a joint venture partnership with POSCO Future M Co. Ltd., and a separator plant through a joint venture partnership with Asahi Kasei Corp.

Once fully operational in 2028, the new assembly plant will produce up to 240,000 vehicles per year, Honda officials said.
Honda’s investments in an electric vehicle assembly plant and a battery manufacturing plant in Alliston will reportedly create over one thousand manufacturing jobs in Ontario, with the CAM/pCAM processing plant and separator plant helping to create thousands of additional direct and indirect jobs in Ontario and across Canada, including during the construction phase and across Ontario’s leading auto parts supplier and research and development ecosystems.
This investment is a strong vote of confidence in Canada and Ontario’s highly skilled workers, strong economies, and competitive business environments.

“[This] historic $15 billion investment by Honda delivers on our government’s promise to bring back manufacturing as part of our plan to rebuild Ontario’s economy, with thousands of good-paying union jobs and economic benefits for workers and families across the province,” Ontario Premier Doug Ford said. “From our abundant critical minerals in the Ring of Fire to our highly skilled workforce, Ontario has what it takes to secure the jobs of the future as the world leader in electric vehicle manufacturing, with better jobs and bigger paycheques for our world-class workers.”

Planning for Honda’s new facilities in Alliston is expected to be finalized in the next six months, at which point the company will release additional details. Honda, the Government of Canada, and the Government of Ontario are working together to support this project through various direct and indirect incentives.