Honda Invests $11 Billion in Canadian EV Production
Honda Motor Co. is making a significant push towards electric vehicles with a $11 billion investment in Canada. This investment will go towards building an EV plant and a separate EV battery plant in Ontario, creating at least 1,000 new jobs.
The EV plant will have a production capacity of 240,000 EVs per year, while the battery plant will have a capacity of 36 GWh per year. Additionally, Honda plans to build a cathode active material and precursor processing plant through a joint venture with POSCO Future M Co., and a separator plant through a joint venture with Asahi Kasei Corp.
EV production is expected to start in 2028. This move comes as part of a broader trend in the automotive industry towards electric vehicles, driven by concerns about emissions and climate change.
Collaboration and Competition in the EV Market
Last month, Nissan and Honda announced a collaboration to develop electric vehicles and auto intelligence technology. This partnership highlights the growing importance of collaboration in the rapidly evolving EV market.
However, Japanese automakers like Honda and Toyota have fallen behind rivals like Tesla and BYD in developing EVs. This is partly due to their historical success with combustion engine vehicles.
Toyota Invests in US EV Production
Meanwhile, Toyota announced a $1.4 billion investment in its Princeton, Indiana plant to produce a battery electric SUV. This move will create up to 340 new jobs. Toyota also recently announced a $1.3 billion investment to produce a separate battery electric SUV at its Kentucky facility.
These investments by both Honda and Toyota demonstrate the increasing focus on electric vehicle production in North America. As the demand for EVs continues to grow, we can expect to see more investments and advancements in this sector.