Federal, Ontario Governments Announce $590 Million for Ford’s Oakville EV Plant
The federal and Ontario governments will each invest C$295 million to help Ford Motor Co. retool its assembly plant in Oakville to make electric vehicles.
The upgrade “will make Oakville into the company’s No. 1 electric vehicle factory in North America,” CBC reports. The plant currently employees 3,400 workers, and a federal release said the deal would secure 5,400 jobs with Ford Canada and its suppliers.
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“Ford has put 800,000 electric cars on the road worldwide in recent years, but the company is ramping up production of electric vehicle production, because the company forecasts them to outsell fossil fuel-powered ones at some point in the next decade,” the national broadcaster adds.
Ford’s plan for Oakville was previously reported as a $1.8-billion investment, pushed along by $500 million in federal and provincial incentives. That tally is now up to $590 million, CBC writes.
“By making this investment in Ford Canada, we are ensuring our province continues to lead North America and the world in automotive manufacturing and innovation, while boosting our competitiveness in this key sector,” Ontario Premier Doug Ford said yesterday. “We are also securing thousands of good-paying jobs, not just at the facility in Oakville, but across the province. This project will help support our auto parts sector and other suppliers and service providers.”
“This shows how much we can do when we work together,” said Prime Minister Justin Trudeau, during a joint virtual media conference with the provincial premier, Unifor National President Jerry Dias, and federal and provincial politicians.
“This is a win-win,” Trudeau added. “Today’s announcement is a testament to Canada’s attractiveness as a destination for clean technology, talent, and infrastructure in the automotive industry. Companies like Ford are helping accelerate our transition to a low-carbon, clean-growth economy, which will help protect our environment, drive innovation, and create many good middle class jobs.”
“Officials called the joint investment one of the first steps in building a next-generation auto industry in Canada,” PV Buzz Media writes. “The move is part of a three-year deal between the U.S. automaker and the Unifor union that also includes wage increases, bonuses, and other benefits for Canadian factory workers.” The publication says Ottawa also hopes the new investment will boost “home-grown mining companies” that can deliver the different raw materials that go into an EV.