Canada and Stellantis to fund production of electric vehicles under zero emissions initiative
Prime Minister Justin Trudeau of Canada announced a major federal investment in Stellantis’ project funding, which will modernize assembly plants and boost electric car production (EV). By 2035, the Canadian government plans to have 100% of new light-duty vehicle sales be zero-emission vehicles (ZEVs). By 2050, the government wants to reduce carbon emissions to zero.
Stellantis N.V. is a global car manufacturing business founded in 2021 as a result of a 50-50 cross-border merger between Fiat Chrysler Automobiles and the PSA Group of France. Amsterdam is the company’s headquarters. Stellantis is presently the world’s fourth-largest automaker by volume.
During an event at the automaker’s Automotive Research and Development Center in Windsor, Stellantis North America chief operating officer Mark Stewart and Canadian Prime Minister Justin Trudeau announced the redevelopment of the Windsor and Brampton, Ontario plants.
“Today’s deal on made-in-Canada electric vehicles is yet another investment in our workers and in our future,” the Canadian Prime Minister Trudeau said at the event. “We’re building a world-class Canadian auto industry, an innovative economy, and a clean, strong future for everyone. This is what a healthy environment and a healthy economy look like.”
Stellantis announced on Monday that two of its Canadian operations will invest $2.8 billion (CAD $3.6 billion) to enhance electric vehicle production. The province of Ontario is also backing the project with a C$513 million investment. The money comes from Stellantis’ $35.5 billion commitment to EV and new software over the next year. This is a part of its plan to phase out internal combustion engines by 2038 and become carbon-neutral.
Stellantis’ multibillion-dollar project will support facilities in Windsor and Brampton, Ontario, by introducing flexible vehicle platforms and growing EV production at both locations. According to Stellantis, the financing will result in the creation of around 650 engineering jobs at the Windsor R&D facility.
The Stellantis-LG Energy Solution joint battery venture, which was announced in October of last year, will also provide 2,500 employments, according to the company. Stellantis only stated that its new factory would be built in North America at the time, but it’s now evident that the manufacturer has its sights set on Ontario.
