Stellantis reaches deal with Canada, ending months-long battery plant feud
BNN Bloomberg
Canada has reached an agreement with automaker Stellantis NV to increase government financial support for an electric-vehicle battery plant, ending a standoff that began in May when the carmaker halted construction on the project.
The plant, built in partnership with South Korea’s LG Energy Solution Ltd., will be located in Windsor, Ontario, across the border from Detroit. It’s expected to cost more than $5 billion (US$3.8 billion) to build.
Unifor, a union that represents autoworkers in Canada, confirmed the deal in a statement.
The project was first announced in March 2022, but the passage of the incentive-rich US Inflation Reduction Act last summer threw a wrench into the process. Canada publicly promised to create a level playing field with the US subsidies, but talks with Stellantis on how to do that dragged on for many months.
