Honda expects that electric vehicle production will begin in 2028.  Once fully operational, the EV plant will have a production capacity of 240,000 EVs per year and the EV battery plant will have a capacity of 36 GWh per year.  In addition to securing the current employment level of 4,200 associates at its two existing manufacturing facilities in Ontario, Honda estimates it will add a minimum of 1,000 new associates for the EV and EV battery manufacturing facilities.  The investment in the new facilities will also create significant spinoff jobs across all sites, including in the construction sector.

Honda has begun the process of evaluating the scope of its investment and completing negotiations with its joint venture partners.  This work is expected to be finalized during the next six months and more details will be shared at that time.

To support this project, Honda is collaborating with the governments of Canada and Ontario to drive innovation in low-emissions manufacturing by accessing performance-based initiatives available through the federal government’s new Investment Tax Credits and provincial direct and indirect incentives.

Striving to realize carbon neutrality for all its products and corporate activities by 2050, Honda has set a goal to make BEVs and FCEVs represent 100% of vehicle sales by 2040. To achieve this goal, Honda will continue offering attractive products in this electrified era globally, including its largest market of North America.

As the first step in achieving this electrification goal in North America, Honda positioned its existing auto production plants in the state of Ohio in the U.S. as its EV Hub for production, including the retooling of existing plants, an investment of USD$700 million, and the construction of a joint venture EV battery plant with LG Energy Solution, with an expected investment of USD$4.4 billion.

The Ohio EV hub will serve as the foundation for future EV and EV battery production, sharing knowledge and expertise with other Honda plants in North America, including the new EV assembly and battery plants in Ontario, Canada. Honda expects EV production to begin at the Marysville Auto Plant in late 2025.

As a second step in this initiative, Honda will strive to establish a comprehensive EV value chain that includes all aspects of EV production in Canada, from the procurement of raw materials mainly for batteries, to the production of finished EVs.  Honda will leverage EV production knowledge learned at the Ohio EV Hub, combined with the abundant resources and clean energy available in Canada, to establish a stable supply system for batteries, the key component of EVs, and increase cost competitiveness of its EVs as a whole.

Furthermore, with an eye toward secondary use and the recycling of batteries, Honda will realize low-carbon value creation throughout the entire battery life cycle, through which Honda will establish a highly profitable business foundation and contribute to the realization of a carbon-neutral society.

For more information, photos and future updates, please visit www.hondanews.ca.

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Production of the new Civic Hybrid sedan will begin in spring 2024 at Honda of Canada Mfg. (HCM) in Alliston, Ontario, the lead North American Honda plant for Civic Hybrid production, followed shortly by the hatchback, which will be manufactured at the Indiana Auto Plant (IAP) in Greensburg, Indiana; both plants already support production of the Honda CR-V Hybrid.

“Our HCM associates are extremely proud to be named the lead North America plant for the new, built in Canada, Civic Hybrid sedan,” said Yoshiyuki Nakazawa, General Manager and Executive Vice President, HCM. “We are celebrating the historic production of our 6 millionth Civic this month and this new Civic Hybrid, which joins the CR-V Hybrid also built at HCM, will be an integral part of Honda’s global electrification plans as we continue to transition Canadian consumers to an electrified future.”

The new Civic Hybrid is another key step in Honda’s electrification strategy, which includes equipping its core models with hybrid-electric systems. Thus far in 2023, over 35% of sales of the CR-V and Accord are hybrid-electric trims and nearly 20% of Honda’s total sales in Canada are electrified models. Honda expects Civic Hybrid sales to represent more than 40% of Civic sales in North America.

The 2025 Civic Hybrid will be powered by a version of the award-winning Honda two-motor hybrid-electric system. Offering improved responsiveness for a sportier driving feel, it creates a more relaxed driving environment at highway speeds while improving fuel economy. This powerplant has already received significant global accolades including a recent Wards 10 Best Engines and Propulsion Systems award for the 2023 Honda Accord Hybrid.

Toward its global goal to achieve carbon neutrality for all products and corporate activities by 2050, Honda has a vision to make battery-electric and fuel cell electric vehicles represent 100% of its new vehicle sales by 2040. Sales of EVs will begin in 2024, with the 2024 Honda Prologue, Honda’s first all-electric SUV. In 2025, a mid- to large-size EV model based on Honda’s dedicated e:Architecture will go on sale.

Honda announced key next steps in the establishment of its EV Hub in Ohio that will lead the company’s journey to production of EVs in North America. In October 2022, Honda announced it would invest $700 million to retool several of its existing auto and powertrain plants to establish the new EV Hub in Ohio to prepare for the production of battery electric vehicles in 2025. The Marysville Auto Plant (MAP), where Honda began auto production in America in 1982, will be the first Honda auto plant in the U.S. to transition to EV manufacturing.

The new EV Hub includes a new joint venture EV battery plant being established by Honda and LG Energy Solution in Fayette County, near Jeffersonville, Ohio. The new JV facility is scheduled to be completed by the end of 2024 with an annual production capacity of approximately 40 GWh.

Last year, HCM announced it would invest $1.38 billion over six years to upgrade its plants and implement innovative technologies, and vehicle research and development programs, as part of Honda’s global electrification and carbon neutrality goals.

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This announcement marks an important step in the company’s pathway to electrification and will see HCM become the North America Lead Plant for the all-new 2023 CR-V Hybrid crossover. This will bring Honda’s total Canadian facilities investments to more than $6.5 billion since 1986, when Honda became the first Japanese auto maker to build a Canadian manufacturing facility.

HCM is partnering with both the governments of Canada and Ontario, with each level of government providing an equal and conditional contribution of $131.6 million.

“This represents an important milestone for Honda as we move forward in our ambitious vision to make battery electric vehicles represent 100 per cent of our North America vehicle sales by 2040,” said Jean Marc Leclerc, President and CEO of Honda Canada. “HCM is home to a team of remarkably talented associates who build some of Honda’s most popular and fuel-efficient products. This investment not only ensures our product and manufacturing competitiveness within Ontario, Canada and abroad, but also significantly bolsters our ongoing efforts to reduce greenhouse gas emissions to help Canada attain its overall climate targets.”

Honda’s overall fleet emits the lowest greenhouse gas (GHG) emissions among internal combustion engine manufacturers in Canada*, and new hybrid products will reduce GHGs by 30 per cent compared to traditional gasoline powered vehicles. The shift to these new products aligns with Canada’s overall GHG reduction goals and Honda’s global goal of realizing carbon neutrality for its entire business, including products and operations, by 2050.

By retooling both production lines at HCM, Honda will secure thousands of well-paying, high-quality jobs in Alliston and throughout Honda’s extensive Canadian supplier network. Financial commitments will also see a range of enhanced job training initiatives and expanded inclusive hiring practices, as well as research and development programs that further reduce environmental impacts of vehicle production. These investments will have a lasting and profound benefit for the Honda Canada dealer network, partnering suppliers, and the overall Canadian auto industry, including employees, their families, and the communities where they live and work.

Honda of Canada Mfg. has the capacity to produce more than 400,000 vehicles and 190,000 engines annually, including the Honda Civic, Canada’s best-selling passenger car for 24 consecutive years, and CR-V models for the Canadian and North America markets, as well as for export.  Approximately 100,000 Canadian-built Civic and CR-V units are sold annually in Canada.

SOURCE Honda Canada Inc.

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