A major shift in the Canadian auto industry
In April 2024, Honda announced a historic $15-billion investment to build a complete electric vehicle (EV) supply chain in Ontario. The project includes four plants: one for EV assembly, one for battery manufacturing, and two others for essential battery components. Honda aims to produce up to 240,000 EVs per year by 2028.
Government support and economic impact
The Government of Canada and the Province of Ontario are jointly supporting the project with up to $5 billion in incentives, primarily in the form of tax credits. This partnership is designed to strengthen Canada’s role in the growing EV industry and create thousands of jobs.
Quebec-based collaboration
Honda is actively seeking partnerships with Quebec suppliers for the construction and operation of its battery plant. In 2024, Honda representatives met with approximately 85 companies in Montréal to explore potential collaborations in construction, engineering, logistics and water treatment.
Temporary project delay
As of May 2025, Honda has announced a two-year delay to the project. The decision is linked to slower-than-expected EV demand and increased U.S. tariffs on EVs and battery materials. However, Honda maintains its long-term commitment to vehicle electrification in Canada.
What it means for Quebec drivers
For customers in Montréal and across Quebec, this investment represents future access to a broader selection of Canadian-built Honda EVs. Whether you’re planning a weekend getaway to Mont-Tremblant or navigating your daily commute on the Métropolitaine, you’ll soon have more local, eco-friendly options that suit your lifestyle.
Key takeaways
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Honda is investing $15 billion to build a complete EV supply chain in Ontario.
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The project involves four facilities and targets 240,000 EVs annually by 2028.
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The federal and Ontario governments are supporting the investment with up to $5 billion in tax credits.
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Honda is partnering with Québec-based suppliers for the battery plant’s development.
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Although temporarily delayed, the project reflects Honda’s firm commitment to electrification in Canada.
FAQ
What is Honda’s objective with this investment?
Honda plans to build a full EV production ecosystem in Canada, securing its supply chain and positioning itself as a leader in the North American electric vehicle market.
How will this affect Quebec customers?
Quebecers will benefit from increased availability of Canadian-built Honda EVs, innovative technology, and stronger support for the local economy.
Why was the project delayed?
Honda has postponed the project by approximately two years due to market conditions and trade policy shifts, but continues to pursue its EV strategy in Canada.
To explore Honda’s electric vehicle options or speak with a specialist, visit Lombardi Honda in Montréal. Whether you're new to EVs or looking to upgrade, our team is here to help you make the right choice.
