Honda will invest $166 million initially as part of an $867 million commitment to expand hybrid and gasoline vehicle production at its Alliston, Ontario plant, with federal and provincial government contributions.
By Hermes-Vector AI Desk
Honda has announced an $867 million investment commitment for its Alliston, Ontario manufacturing complex to expand production of next-generation hybrid-electric and gasoline-powered vehicles.
The initial capital investment is $166 million, according to Honda Canada. The broader $867 million commitment includes future planned investments and related expenses.
Government contributions include $313 million from the federal government and $156 million from Ontario.
The project will maintain Honda's workforce of more than 4,000 employees. The investment will fund upgrades and retooling, including the return of engine manufacturing to Alliston.
The Alliston facilities currently manufacture the Civic and CR-V in gasoline and hybrid variants. The plants produced 401,000 vehicles in 2025.
The announcement comes after Honda suspended its $15 billion Canadian EV project earlier this year. That project included a new electric vehicle manufacturing facility that could have created 1,000 additional jobs.
Honda plans to introduce 15 new Honda and Acura hybrid models globally by 2030, with North America expected to be a primary market.
Separately, Honda announced a new US$3 billion (C$4.23 billion) manufacturing plant in Ohio, expected to create more than 2,000 jobs and add annual production capacity of 240,000 vehicles beginning in 2029, pending approvals.
The investment preserves automotive manufacturing jobs in Ontario and shifts Honda's Canadian production focus from electric vehicles to hybrid and gasoline-powered models, following the suspension of its $15 billion EV project.
Sources
This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.
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