ALLISTON, Ont. — A division of Honda Canada is expected to announce Wednesday that it will spend $1.38 billion to upgrade a manufacturing plant in Ontario, an investment that includes millions of dollars in funding from the federal and provincial governments.
Honda Canada spokesman John Bordignon confirmed that the 2023 CR-V and CR-V Hybrid vehicle models will be built at the Alliston, Ontario plant.
A draft press release obtained by The Canadian Press says it will additionally be the main factory for the 2023 CR-V hybrid crossover.
The press release indicates that the federal and provincial governments will each contribute $131.6 million for the renovation of the plant, for a total investment of approximately $263 million. The investments have been confirmed by a government source.
Automaker Honda has pledged to produce only electric vehicles by 2040, making the announcement of the hybrid vehicle factory a key step on its way to achieving its goal.
Several automakers operating in Canada have pledged to assemble electric vehicles over the past two years, supported by funding from the provincial and federal governments.
The statement said Honda has the capacity to produce more than 400,000 vehicles and 190,000 engines per year, including Honda Civic and CR-V models for the Canadian and North American markets, as well as for export. Approximately 100,000 Canadian-made Civic and CR-V units are sold annually in Canada.
The Canadian Press