MONTREAL — General Motors (GM) is returning to Quebec, 20 years after closing its Boisbriand plant. The American automaker and its partner POSCO Chemical will establish a plant that will manufacture components for electric vehicle batteries, in Bécancour, in the Centre-du-Québec region.
© Provided by The Canadian Press
The two companies want to start construction of the plant “immediately”, they announced on Monday. They predict that the project will cost US$400 million, around $500 million. The investment will lead to the creation of 200 jobs. The plant will be built in such a way as to leave the door open to expansions.
The plant will process cathode active materials, a key battery material made up of components like treated nickel, lithium and other materials that account for about 40% of the cost of a battery cell.
Gallery: Japanese Cars: The Reliable and the Unreliable (Espresso)
In December, GM and POSCO Chemical announced that they were forming a joint venture to establish a plant in North America.
GM wants to build nearly 1 million electric vehicles annually in North America by the end of 2025. The company wants the majority of components, by value, to be made in North America.
The announcement comes a few days after the German multinational BASF announced its intention to establish an electric vehicle battery manufacturing and recycling plant in Bécancour last Friday. The company claimed that the municipality was an “ideal” location for logistical reasons and for access to hydroelectric power.
Stephane Rolland, The Canadian Press