LG Energy Solution and Stellantis investing in Windsor for province’s first large-scale EV battery manufacturing plant
With the support of the Ontario, federal and municipal governments, LG Energy Solution and automaker Stellantis are joining forces to build the province’s first large-scale electric vehicle (EV) battery manufacturing plant.
The joint venture between LG Energy Solution, Ltd. (LGES) and Stellantis N.V. will invest more than CDN $5 billion (USD $4.1 billion) to build a facility in Windsor to manufacture batteries for EVs in Canada, representing the largest automotive manufacturing investment in the history of the province. This historic investment puts Ontario on a path to becoming one of the most vertically integrated automotive jurisdictions in the emerging North American EV market. The battery facility, with a production capacity of 45 gigawatt hours (GWh) that will supply Stellantis plants in the North American market, will employ an estimated 2,500 people. Construction activities are scheduled to begin later this year with production operations planned to launch in the first quarter of 2024. The facility will be fully operational by 2025.
“Attracting this multi billion-dollar investment will secure Ontario’s place as a North American hub for building the cars and batteries of the future,” said Premier Doug Ford. “As we secure game-changing investments, we’re also connecting resources, industries and workers in northern Ontario with the manufacturing might of southern Ontario to build up home-grown supply chains. Every region of Ontario will benefit with thousands of jobs being created and a stronger economy that works for everyone.”
This investment will accelerate Ontario’s 10-year vision for the Driving Prosperity ― The Future of Ontario’s Automotive Sector plan. Phase 2 of Driving Prosperity demonstrates the government’s commitment to transform the province’s automotive supply chain to build the cars of the future, including the production of hybrid and fully battery electric vehicles, EV battery and component production, and increasing exports of Ontario-made auto parts and innovations.
Ontario’s top-quality manufacturing talent, clean and competitive electricity, access to investment-ready sites, and commitments to streamline the approvals process continue to make the province a destination for major investments, ensuring that everyone in Ontario benefits from the auto sector’s long-term growth and success. This game-changing investment helps secure the province’s position as a competitive player in the low-carbon economy of the future.
Each component of the battery supply chain plays an important and interconnected role in the production of electric vehicles. Today’s investment will advance the province’s efforts at becoming a globally competitive, vertically integrated EV battery manufacturing jurisdiction.
“Through our Driving Prosperity auto plan, strategic investments across our integrated supply chains, and by reducing the cost of doing business in Ontario by nearly $7 billion annually, our government is staking Ontario’s claim as a leader in the emerging North American EV battery industry,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “By harnessing advanced manufacturing processes and emerging technologies, and leveraging the critical mineral wealth in Northern Ontario, our province has what it takes to develop and build the car of the future, and the batteries those cars need.”
Quick Facts
- Stellantis’ investments in Ontario encompass the entire EV ecosystem, including EV assembly, next-generation R&D, and battery manufacturing.
- With 30 years of experience in advanced battery technology, LG Energy Solution is a leading global battery manufacturer delivering advanced lithium-ion batteries for electric vehicles mobility & IT applications and energy storage systems.
- Vehicle assembly and auto parts production directly supports nearly 100,000 Ontario jobs, with hundreds of thousands more spin-off jobs in communities across the province.
- Over the past 18 months, the automotive sector in Ontario has seen more than $11 billion in investments for new vehicle production mandates and battery manufacturing, including this one by LGES and Stellantis.
- More than $4 billion of these investments are in transformative electric vehicle production at Ontario assembly plants.
- Ontario is building on the growing success of Ontario’s Ivy Charging Network by investing up to $91 million that will add more EV chargers at locations like highway rest stops, carpool parking lots, Ontario Parks, and in community hubs, like hockey arenas and municipal parks.
- In March, the government completed consultations on the designation of three priority proposed electricity transmission lines in the Southwest. If approved, it would expedite the review process so electricity transmission infrastructure could be built sooner.
- In February 2021, Windsor City Council adopted an economic development strategy called Windsor Works – An Economic Development Strategy for the City’s Future Growth focusing on the future of the automotive sector.
Author: Pete Fisher
Has been a photojournalist for over 30-years and have been honoured to win numerous awards for photography and writing over the years. Best selling author for the book Highway of Heroes - True Patriot Love
