Goodyear announces $575M plant expansion in Ontario

Key Takeaways:

• The investment will allow for an energy-efficient, end-to-end manufacturing process and will significantly increase production capacity, including for electric vehicle (EV) and all-terrain tires.
• The project is expected to create 200 new manufacturing jobs by 2027 and secure over 1,000 existing jobs in Napanee.
• Founded in 1898, Goodyear is one of the world’s largest tire companies. It employs about 71,000 people and manufactures its products in 54 facilities across 21 countries around the world.

The Whole Story:

Goodyear has announced a $575-million project to modernize and expand its plant in Napanee, Ontario. The investment will help Goodyear create an energy-efficient, end-to-end manufacturing process and increase its production capacity, including EV and all-terrain tires.

The project will create 200 new manufacturing jobs by 2027 and secure more than 1,000 jobs in Napanee. This project is expected to get the Goodyear Napanee plant to net-zero emissions by 2040, helping achieve Canada’s goal of a net-zero economy by 2050.

“Goodyear Canada’s investment is another significant boost to Ontario’s growing electric vehicle sector, building on the billions of dollars that have been invested in the sector over the past four years,” said Ontario Premier Doug Ford. “Across Ontario, we’re seeing major investments and new jobs created as we build out our end-to-end EV supply chain, connecting critical minerals in Northern Ontario to world-class manufacturing across the province. Companies are choosing Ontario because of our transportation infrastructure, our competitive business environment and our skilled workforce.”

Goodyear Canada Inc. will receive federal funding of up to $44.3 million from the Strategic Innovation Fund for this expansion project.

“Companies from across the world are choosing Canada,” said Prime Minister Justin Trudeau. “Today’s announcement that Goodyear is modernizing its Napanee plant will create manufacturing jobs, grow our EV industry and use modern technology to keep our air clean. It’s another vote of confidence in Canada’s auto sector workers.”

The Government of Ontario, through Invest Ontario, will contribute $20 million to support key components of the project, including the implementation of innovative technologies and skills training programs.

“Today’s announcement reinforces our long-term commitment to Canada and enhances our agility and flexibility, positioning Goodyear to meet the evolving needs of our customers now and in the future,” said Mark Stewart, CEO and president, Goodyear. “We are appreciative to the federal, provincial and local governments for their support and to our Napanee associates for their dedication to building the next generation of tires.”

The project is also supported by incentives from the Town of Greater Napanee, the Township of Stone Mills and the County of Lennox and Addington, as a result of a newly launched Community Improvement Plan. This project will take place on the same land as Goodyear Canada’s existing facility in Napanee. The modernized facility will reduce greenhouse gas emissions at Goodyear Canada’s Napanee facility by 10% by 2030 and by 100% by 2040.

Founded in 1898, Goodyear is one of the world’s largest tire companies. It employs about 71,000 people and manufactures its products in 54 facilities across 21 countries around the world.
Canada’s automotive sector builds more than 1.5 million vehicles each year – one every 21 seconds. It supports nearly 550,000 direct and indirect jobs, contributed $18 billion to Canada’s gross domestic product in 2023 and is one of the country’s largest export industries.