{"id":63196,"date":"2024-04-26T15:01:43","date_gmt":"2024-04-26T22:01:43","guid":{"rendered":"https:\/\/energi.media\/?p=63196"},"modified":"2024-04-26T15:01:43","modified_gmt":"2024-04-26T22:01:43","slug":"honda-announces-15b-investment-in-four-ontario-ev-plants","status":"publish","type":"post","link":"https:\/\/energi.media\/news\/honda-announces-15b-investment-in-four-ontario-ev-plants\/","title":{"rendered":"Honda announces $15B investment in four Ontario EV plants"},"content":{"rendered":"

This article was published by The Energy Mix<\/a> on April 25, 2024.<\/em><\/p>\n

By Mitchell Beer<\/strong><\/em><\/p>\n

Tokyo-based Honda Motor Co. will invest C$15 billion in four new electric vehicle assembly and battery manufacturing plants in Ontario, Prime Minister Justin Trudeau and Premier Doug Ford announced Thursday.<\/p>\n

Trudeau called the deal the \u201clargest investment in Canada\u2019s history,\u201d while Ford declared it \u201ca game changer for the industry\u201d and a \u201ctremendous win for Ontario,\u201d CBC\u00a0reports<\/a>.<\/p>\n

Honda will build an EV assembly plant and stand-alone battery facility in Alliston, Ontario, as well as a cathode active material and precursor (CAM\/pCAM) processing plant and a separator plant in communities that have yet to be named, the company\u00a0said<\/a>\u00a0in a statement. The federal and provincial governments sweetened the deal with up to $2.5 billion each in subsidies, the Globe and Mail\u00a0writes<\/a>, with the federal dollars flowing from the investment tax credits it announced for\u00a0clean technology<\/a>\u00a0in 2023, and for\u00a0EV supply chains<\/a>\u00a0in last week\u2019s 2024 budget.<\/p>\n

\u201cThis announcement is not just about creating good jobs. It\u2019s about securing good jobs and careers for the coming years, and even the coming decades,\u201d Trudeau said.<\/p>\n

\u201cOnce the assembly plant is fully operational in 2028, it will produce up to 240,000 vehicles per year and create more than 1,000 \u2018well-paying manufacturing jobs\u2019,\u201d CBC states, citing releases from Honda and the federal government.<\/p>\n

\u201cBoth the scope of Honda\u2019s investment and the way that governments will back it mark a pivot in Canada\u2019s strategy to establish itself a major player in the global race to build EV supply chains, as the auto sector shifts away from making vehicles powered by fossil fuels,\u201d the Globe adds.<\/p>\n

The announcement identifies South Korea\u2019s POSCO Future M Co. as a partner for the CAM\/pCAM processing plant and Japan\u2019s Asahi Kasei Corp. with a role in the separator plant.<\/p>\n

Honda CEO Toshihiro Mibe said project details will be announced over the next six months, making the Alliston plants the first to take advantage of the EV supply chain tax credit. When it was announced last week, the credit was pegged at 10% through 2032 and 5% for 2033 and 2034, at a cost of $80 million through 2029 and $1.02 billion in the five years that follow.<\/p>\n

The federal Conservative opposition threw cold water on the deal, pointing to a previously-announced battery plant in Windsor where NextStar Energy, a partnership between automaker Stellantis and battery manufacturer LG Energy Solution, will be hiring 900 workers from South Korea for a key stage of the project.<\/p>\n

\u201cWindsor Mayor Drew Dilkens said those workers were coming to install specialized proprietary equipment in the plant and would only work at the site for periods of three to 18 months\u2014and would not get permanent jobs,\u201d CBC reports. \u201cNextStar Energy has committed to hiring 2,500 Canadians for full-time positions at the plant,\u201d on top of 1,600 tradespeople involved in construction.<\/p>\n

But the use of foreign workers at the Windsor plant is still raising flags with Canada\u2019s Building Trades Union. In a letter to Trudeau, the union \u201csaid the work could easily be performed by local tradespeople despite claims from NextStar that it was only bringing over workers because it needed their \u2018specialized knowledge\u2019,\u201d iPolitics\u00a0reports<\/a>.<\/p>\n

\u201cThis has never been a case of \u2018knowledge transfer\u2019 or \u2018specialized knowledge\u2019,\u201d wrote CBTU Executive Director Sean Strickland. \u201cThis is the brazen displacement of Canadian workers in favour of international workers, by major international corporations thumbing their nose at both the Government of Canada, taxpayers, and our skilled trades workers.\u201d<\/p>\n

NextStar said almost all the workers have been \u201chired temporarily by the suppliers to install proprietary equipment and are a requirement of warranty obligations,\u201d iPolitics writes. But \u201cthe CBTU said it had proof of foreign workers offloading equipment for module lines, using forklifts, and conducting equipment installation work previously contracted to Canadian workers.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

This article was published by The Energy Mix on April 25, 2024. By Mitchell Beer Tokyo-based Honda Motor Co. will invest C$15 billion in four new electric vehicle assembly and battery manufacturing plants in Ontario, [Read more]<\/a><\/p>\n<\/div>","protected":false},"author":6,"featured_media":63199,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"give_campaign_id":0,"footnotes":""},"categories":[1],"tags":[13,120,611,14,606,121,935,536,772],"class_list":{"0":"post-63196","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-news","8":"tag-canada","9":"tag-clean-energy","10":"tag-evs","11":"tag-featured","12":"tag-industry","13":"tag-innovation","14":"tag-jobs","15":"tag-manufacturing","16":"tag-trudeau"},"acf":[],"yoast_head":"\nHonda - Thoughtful Journalism About Energy's Future<\/title>\n<meta name=\"description\" content=\"Tokyo-based Honda Motor Co. will invest C$15 billion in four new electric vehicle assembly and battery manufacturing plants in Ontario.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/energi.media\/news\/honda-announces-15b-investment-in-four-ontario-ev-plants\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Honda - 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