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Released October 03, 2024 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)-- Although Canada may not feature as much manufacturing project activity as its southern counterpart, the country still is home to plenty of related projects. Industrial Info is tracking US$7.6 billion (C$10.2 billion) worth of projects in Canada's Industrial Manufacturing Industry that are set to kick off from October through December, with most of the investment wrapped up in Northvolt's (Stockholm, Sweden) planned US$5 billion (C$7 billion) electric vehicle (EV) battery plant in Quebec and other automotive projects.
The lithium-ion battery manufacturing plant, outside of Montreal, is the first phase of a planned two-phase gigafactory ("Northvolt Six"). The first phase, in Saint-Basile-le-Grand, will feature an annual production capacity of 30 gigawatt-hours (GWh) of battery cells per year, while the second phase, in McMasterville, will add another 30 GWh. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can read detailed information on the first phase, which is expected to kick off in December and wrap up around the end of 2025--with the first batteries delivered in 2026; the second phase is tentatively expected to kick off in 2026. Click here to read the plant profile.
"This facility will be able to produce batteries for a million electric vehicles a year and, at full production capacity, the plant will contribute up to (US)$1.6 billion to our economy," Prime Minister Justin Trudeau said at a September 2023 event announcing the project. Quebec and Ottawa provinces have pledged financial support worth a total of US$2.4 billion (C$3.2 billion) for the construction of the plant, and Quebec's investment marks its largest private investment.
The project is expected to move forward, even as Northvolt, Europe's only homegrown battery cell maker, recently said it plans to cut 1,600 jobs (about 20% of its workforce) and halt an expansion at its main plant in Sweden, amid other restructuring efforts. "While overall momentum for electrification remains strong, we need to make sure that we take the right actions at the right time in response to headwinds in the automotive market, and wider industrial climate," Peter Carlsson, chief executive officer and co-founder of Northvolt, said in a September 23, 2024, press release. "We now need to focus all energy and investments into our core business."
Shortly thereafter, Quebec's Minister of Economy, Innovation and Energy Christine Fréchette downplayed any fears the Canada project would not move forward: "Northvolt assures us its project in Quebec is not affected by these announcements. We are in direct contact with the company."
"There is a worldwide slowdown which affects the battery industry," she said. "It is a controlled risk."
For more information on Northvolt's restructuring efforts, see September 16, 2024, article - Northvolt To Cut Jobs and Delay Battery Gigafactory Projects.
Industrial Info is tracking other automotive projects set to kick off in the fourth quarter, including two from parts supplier Dana Incorporated (NYSE:DAN) (Maumee, Ohio) as part of its US$60 million expansion in Ontario: a US$44.46 million expansion of its heat exchanger-manufacturing plant in Cambridge, and a US$15.54 million expansion of its propulsion system-manufacturing plant in Oakville. Both products are components of advanced thermal management systems, which are "critical for cooling sensitive electronics and batteries in modern EVs," according to the company. Subscribers can read detailed reports on the Cambridge and Oakville projects.
Another automotive project is parts supplier Magna International Incorporated's (NYSE:MGA) (Aurora, Ontario) US$140 million expansion of its Polycon thermoplastic exterior systems-manufacturing plant in Guelph. The 120,000-square-foot expansion will add e-coat (electrically-applied paint coating), molding and welding capacity to the exteriors plant, which will support new EV production. Construction is expected to begin in December and wrap up in mid-2025. Click here to read the project report.
"This game-changing investment by Magna will create hundreds of new jobs across the province, while further strengthening Ontario's end-to-end automotive supply chain," Vic Fedeli, the province's minister of economic development, job creation and trade, said in a news release.
In another sector, EcoPoly Solutions Incorporated (Orillia)--which specializes in the production and supply of plastic products used in flexible packaging--is investing US$32 million in an equipment addition at its plastic film and bags plant in Orillia. The new equipment will help expand the company's production capacity and competitiveness in the North American market. Click here to read more information on the project, which is expected to kick off in December and wrap up in mid-2025.
Subscribers to the GMI Database can click here for all project reports mentioned in this article and here for related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
The lithium-ion battery manufacturing plant, outside of Montreal, is the first phase of a planned two-phase gigafactory ("Northvolt Six"). The first phase, in Saint-Basile-le-Grand, will feature an annual production capacity of 30 gigawatt-hours (GWh) of battery cells per year, while the second phase, in McMasterville, will add another 30 GWh. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can read detailed information on the first phase, which is expected to kick off in December and wrap up around the end of 2025--with the first batteries delivered in 2026; the second phase is tentatively expected to kick off in 2026. Click here to read the plant profile.
"This facility will be able to produce batteries for a million electric vehicles a year and, at full production capacity, the plant will contribute up to (US)$1.6 billion to our economy," Prime Minister Justin Trudeau said at a September 2023 event announcing the project. Quebec and Ottawa provinces have pledged financial support worth a total of US$2.4 billion (C$3.2 billion) for the construction of the plant, and Quebec's investment marks its largest private investment.
The project is expected to move forward, even as Northvolt, Europe's only homegrown battery cell maker, recently said it plans to cut 1,600 jobs (about 20% of its workforce) and halt an expansion at its main plant in Sweden, amid other restructuring efforts. "While overall momentum for electrification remains strong, we need to make sure that we take the right actions at the right time in response to headwinds in the automotive market, and wider industrial climate," Peter Carlsson, chief executive officer and co-founder of Northvolt, said in a September 23, 2024, press release. "We now need to focus all energy and investments into our core business."
Shortly thereafter, Quebec's Minister of Economy, Innovation and Energy Christine Fréchette downplayed any fears the Canada project would not move forward: "Northvolt assures us its project in Quebec is not affected by these announcements. We are in direct contact with the company."
"There is a worldwide slowdown which affects the battery industry," she said. "It is a controlled risk."
For more information on Northvolt's restructuring efforts, see September 16, 2024, article - Northvolt To Cut Jobs and Delay Battery Gigafactory Projects.
Industrial Info is tracking other automotive projects set to kick off in the fourth quarter, including two from parts supplier Dana Incorporated (NYSE:DAN) (Maumee, Ohio) as part of its US$60 million expansion in Ontario: a US$44.46 million expansion of its heat exchanger-manufacturing plant in Cambridge, and a US$15.54 million expansion of its propulsion system-manufacturing plant in Oakville. Both products are components of advanced thermal management systems, which are "critical for cooling sensitive electronics and batteries in modern EVs," according to the company. Subscribers can read detailed reports on the Cambridge and Oakville projects.
Another automotive project is parts supplier Magna International Incorporated's (NYSE:MGA) (Aurora, Ontario) US$140 million expansion of its Polycon thermoplastic exterior systems-manufacturing plant in Guelph. The 120,000-square-foot expansion will add e-coat (electrically-applied paint coating), molding and welding capacity to the exteriors plant, which will support new EV production. Construction is expected to begin in December and wrap up in mid-2025. Click here to read the project report.
"This game-changing investment by Magna will create hundreds of new jobs across the province, while further strengthening Ontario's end-to-end automotive supply chain," Vic Fedeli, the province's minister of economic development, job creation and trade, said in a news release.
In another sector, EcoPoly Solutions Incorporated (Orillia)--which specializes in the production and supply of plastic products used in flexible packaging--is investing US$32 million in an equipment addition at its plastic film and bags plant in Orillia. The new equipment will help expand the company's production capacity and competitiveness in the North American market. Click here to read more information on the project, which is expected to kick off in December and wrap up in mid-2025.
Subscribers to the GMI Database can click here for all project reports mentioned in this article and here for related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
