Honda Unveils $11 Billion Investment to Forge Canada’s EV Future

Honda EV Pours $11 Billion into Canada: 4 New Plants Planned | CIO Women Magazine

Source – Energy Connects

In a significant move signaling its commitment to electric vehicles (EVs), Honda has announced an unprecedented $11 billion investment to establish four new EV plants in Canada. This historic investment marks Honda’s largest ever in Canada and is poised to shape the future of automotive manufacturing in the region. The investment aims to construct Canada’s premier EV supply chain, facilitating the production of 240,000 Honda EVs annually for distribution in the United States and Canada.

Groundbreaking Plans Unveiled for Alliston, Ontario

Honda’s visionary investment plans include the construction of a cutting-edge EV plant and a stand-alone EV battery factory in Alliston, Ontario. Once operational, the EV facility will boast a remarkable capacity to manufacture 240,000 EVs per year, while the accompanying battery plant will have an annual capacity of 36 GWh. Production is slated to commence in 2028, positioning Honda at the forefront of the EV revolution.

According to a statement from the prime minister’s office, Honda’s ambitious initiative will establish Canada’s inaugural comprehensive Honda EV supply chain. The project encompasses the establishment of four new manufacturing plants in Ontario. Additionally, Honda will collaborate with industry leaders, including POSCO Future M and Asahi Kasei Corp, to construct cathode active material and precursor plants.

Prime Minister Hails Honda’s Game-Changing Investment

Prime Minister Justin Trudeau lauded Honda’s transformative investment as a “game changer” for Canada’s manufacturing sector. With the establishment of a complete EV supply chain, Honda anticipates reducing production costs by more than 20%. This move aligns with Honda’s broader vision to transition to a future where EVs and fuel cell electric vehicles (FCEVs) comprise 100% of its vehicle sales by 2040.

Meanwhile, Honda has already begun laying the groundwork for its EV endeavors. Earlier this year, the automaker introduced its inaugural electric SUV, the Honda Prologue, which has since hit the market. Priced starting at $47,400 (excluding destination), the Prologue offers an impressive range of up to 296 miles. With the federal tax credit of $7,500, the Prologue’s starting price can be as low as $39,900 (excluding destination).

Lace Woelfer, VP of Honda America National Auto Sales, emphasized the Prologue’s appeal as a sporty and stylish electric SUV, hitting the “sweet spot” for discerning consumers seeking an electrifying driving experience. As Honda continues to make strides in the Honda EV arena, its latest investment underscores its unwavering commitment to shaping the future of mobility in Canada and beyond.



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