HONDA ANNOUNCES MAJOR ELECTRIC VEHICLE INVESTMENT IN ONTARIO

Honda Motor Co., Ltd. is set to develop a full electric vehicle (EV) value chain in Ontario, Canada, with a substantial investment of approximately CAD15 billion (USD11 billion). This move is aimed at boosting its EV production capabilities in anticipation of growing demand in North America. Honda’s new initiative in Ontario will complement its existing EV Hub in Ohio, underscoring its commitment to achieving carbon neutrality by 2050.

The planned facilities in Alliston, Ontario, include an innovative Honda EV assembly plant and a dedicated EV battery plant, set to begin production by 2028. These facilities will produce 240,000 EVs and 36 GWh of EV batteries annually. Additionally, Honda will construct a cathode active material plant and a separator plant through partnerships with POSCO Future M Co., Ltd., and Asahi Kasei Corporation.

This expansion will not only preserve the current 4,200 jobs at Honda’s existing Ontario factories but will also create at least 1,000 new positions and numerous indirect employment opportunities in related sectors. Honda is collaborating closely with Canadian and Ontario governments to leverage incentives and tax credits aimed at fostering low-emission manufacturing.

The initiative marks a significant step in Honda’s North American strategy to lead in the electrified era, following its ambitious goal to ensure all its vehicle sales are battery-electric and fuel-cell electric models by 2040. Honda’s investment in Canada reflects its strategy to utilize regional resources and clean energy to enhance the competitiveness and sustainability of its EV products.