Automaker Ford announced Tuesday an investment of 1.8 billion Canadian dollars (1.2 billion euros) in its Canadian assembly plant in Oakville, Ontario, to convert it into a production center for electric vehicles. With the retrofitting of the complex located one hundred kilometers from the US border, Ford wants to turn it into “a high-volume production center for the manufacture of electric vehicles in North America” and thus achieve its goal of producing two million a year. by the end of 2026 globally. The restructuring, which should create thousands of jobs, should start in the second quarter of 2024 and allow for the production of electric vehicles in early 2025.
Spanning over two square kilometres, the site which currently includes three body shops, a paint shop and a car assembly building will see the addition of a new 38,000m2 battery factory. Cells and components from a plant in the US state of Kentucky will be assembled there before being installed in vehicles produced on site.
Tax incentives to attract players in the electric vehicle sector
For the past few years, Canada has been pushing to attract players in the electric vehicle sector, touting its tax incentives, clean energy, and many rare minerals. Volkswagen announced in March that its first battery plant outside of Europe would be built in Saint-Thomas, Ontario.
Automaker Stellantis (formerly Fiat Chrysler) and LG Energy Solution have also partnered in 2022 to build a new battery plant in Canada, while French tire maker Michelin has expanded its facility there. Finally, General Motors has signed a long-term agreement with Brazilian mining giant Vale for the supply of Canadian nickel for electric vehicle batteries.
Source: BFM TV
