Honda Motor Co. (HMC) plans to spend $1.38 billion over six years to upgrade its Ontario manufacturing plant so that it can build electric hybrid vehicles.
The investment in Honda’s Alliston, Ontario manufacturing facility is being supported by millions in funding from both the federal and provincial governments, which will contribute $131.6 million each towards the plant's overhaul for a total government investment of about $263 million.
Honda has confirmed that the CR-V and CR-V Hybrid vehicles will be built at the Ontario production plant.
Honda's latest expenditure would bring its total Canadian manufacturing investments to more than $6 billion since 1986, when it became the first Japanese automaker to build a manufacturing facility in Canada.
Honda today has the capacity to produce more than 400,000 vehicles and 190,000 engines annually, including the Honda Civic and CR-V models for the North America market, as well as for export.
Honda has promised to go fully electric by 2040, making the Ontario hybrid vehicle plant announcement a key step on the way toward meeting its goal.
