Honda confirms plan to modify Ontario plant to hybrid autos

The federal and provincial governments will make investments greater than $130 million every in an Ontario Honda plant to assist it pivot to supply hybrid-electric autos.

Prime Minister Justin Trudeau and Ontario Premier Doug Ford introduced the information Wednesday.

The Honda of Canada Mfg plant in Alliston, Ont. was inbuilt 1986 and is the nation’s second largest automotive producer. It produces the Honda Civic and the CR-V, with the capability to finish greater than 400,000 autos per 12 months and 190,000 engines.

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The plant at the moment produces fuel automobiles and engines and is the most important employer within the Simcoe area. It hosts round 4,200 manufacturing jobs.

“Our authorities has a plan to construct the way forward for auto manufacturing proper right here in Ontario,” Ford mentioned. “We’re so happy that Honda has made this funding in Ontario and know that the automobiles of the longer term will probably be constructed right here in Alliston and all throughout Ontario for many years to come back.”

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Honda Canada will spent round $1.4 billion to improve and retool the plant, together with a grant of $131.6 million from the provincial authorities. The federal authorities has agreed to match Ontario’s contribution for a complete authorities funding value upwards of $263 million.

The 2023 CR-V and CR-V Hybrid will probably be constructed on the retooled Alliston plant.

Doug Ford and Justin Trudeau at a Honda plant in Ontario.

Matthew Bingley/World Information

Jean Marc Leclerc, president and CEO of Honda Canada, mentioned the announcement was “an necessary milestone” within the firm’s bid to transition to electrical autos.

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Globally, the auto big plans to promote solely zero-emissions autos in North America by 2040. It can retool its crops incrementally throughout the following 20 years.

Affirmation of Honda Canada’s funding to transition to producing hybrid autos comes as fuel costs throughout Ontario soar. The common value in Ontario is $1.73 per litre, in keeping with the Canadian Car Affiliation. It price $1.24 on the similar time final 12 months.

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“By serving to Canadians construct – after which drive – cleaner autos, we’re delivering on our plan to construct a greater future for all,” Trudeau mentioned.

Greater than 65,000 new battery-only and plug-in hybrid electrical automobiles had been registered in Canada in the course of the first 9 months of 2021, up from 54,353 in all of 2020 and 56,165 in 2019, in keeping with Statistics Canada.

The figures symbolize 5 per cent of latest automobiles registered, in contrast with three per cent in each 2020 and 2019.

— With information from The Canadian Press

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