Volkswagen Group plans to build its first North American battery cell manufacturing plant in St. Thomas, Ont., as the automaker establishes a regional supply chain to build electric vehicles for Canada, the U.S. and Mexico.
The company and its in-house battery subsidiary PowerCo on Monday announced the landmark investment in the southwestern Ontario city midway between Toronto and Windsor.
Financial details were not immediately disclosed, though François-Philippe Champagne, Canada’s minister of innovation, science and industry, told reporters in Montreal it will be “the largest single investment” in Canadian automotive history.
To hit that mark, spending will need to eclipse the $5 billion (US$4.1 billion) joint commitment from Stellantis and LG Energy Solution for a battery plant in Windsor announced last year.