Canada Invests Up to C$1 bn in Umicore Plant for Electric Vehicle Battery Components

By Editor


In a significant move towards bolstering the electric vehicle (EV) industry, Canada and the province of Ontario have pledged a joint investment of up to C$1 billion to support a Umicore subsidiary in constructing a cutting-edge plant dedicated to manufacturing components for EV batteries. This initiative aims to position Canada as a key player in the burgeoning electric vehicle sector.

Located in Loyalist Township, Ontario, the facility will specialize in the production of cathode active materials and precursor cathode active materials crucial for advanced EV batteries. Federal Innovation Minister Francois-Philippe Champagne announced this groundbreaking development on Monday, underlining its potential to reshape the EV supply chain in North America.

With an initial workforce of 600 employees, the plant will boast an impressive battery materials production capacity of 35 gigawatt hours annually. As the first of its kind in North America, the Umicore plant is anticipated to become a major player in the region’s EV manufacturing landscape.

Canada, renowned for its vast mineral mining sector encompassing vital resources like lithium, nickel, and cobalt, is strategically investing in green technologies to entice firms involved in various stages of the EV supply chain. This multi-billion-dollar endeavor underscores the nation’s commitment to sustainability and its aspiration to be at the forefront of the global EV revolution.

The Umicore plant will be developed in stages, ultimately culminating in an estimated worth of C$2.7 billion upon completion. The total investment from Canada is set to reach up to C$551.3 billion, with an additional contribution of up to C$424.6 billion from Ontario.

Notably, the full-scale project holds immense potential, with the capability to supply battery materials to support the production of over 800,000 EVs annually, according to Minister Francois-Philippe Champagne. This substantial capacity showcases the significant strides being taken to accelerate the adoption of electric vehicles, contributing to a more sustainable and environmentally conscious future.

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