Breaking: deal reached to resume work on $5B EV plant
Work on the project halted due to disputes over government funding.
Prime Minister Justin Trudeau announces EV investments in Ontario. – Government of Canada
Work will resume on a $5-billion electric vehicle (EV) battery plant after work halted seven weeks ago over government funding.
Union officials announced that Stellantis and the federal and Ontario governments have reached an agreement that will see construction of the Windsor EV battery plant resume.
“We knew the high stakes. We knew these commitments had to be kept because the alternative would have been unthinkable for so many workers. I know what resonated with all parties was the persistent message from our union that thousands upon thousands of workers’ livelihoods were hanging in the balance throughout this dispute,” said Lana Payne, Unifor national president. “We would like to thank Prime Minister Trudeau, Premier Doug Ford and the company for reaching this important conclusion and taking the necessary action to secure the Stellantis production footprint in Canada.”
The lithium-ion battery plant is a joint venture of Stellantis and LG Energy Solution. It was first announced in March 2022. Construction at the future plant was halted on May 15, 2023, after Stellantis claimed the federal government had not met its financial commitment and that the company was implementing contingency plans for battery production. Windsor officials called the delays unacceptable and are circulated a petition to push Ottawa to finalize a deal.