Honda joins EV race with historic $11B investment to build 240K EVs a year

Honda has made historic $11 billion investment to build four EV plants in Canada, marking its entry into the EV race.

This investment will enable the production of 240,000 Honda EVs annually for the US and Canada.

The investment will be used to build Canada’s first EV supply chain, including new Honda EV plant and stand-alone EV battery factory in Alliston, Ontario.

Once fully operational, the EV facility will be capable of producing 240,000 EVs a year, with battery plant having capacity of 36 GWh per year.

Production is expected to begin in 2028.

According to a press release from prime minister’s office, Honda's investment is "game changer for manufacturing in Canada."

With a full supply chain, Honda expects to cut costs by over 20%.

Honda aims for EVs and FCEVs to account for 100% of vehicle sales by 2040.

The company has invested $700 million to retool three Ohio plants to serve as its hub for future EV and EV battery production.

Honda's first electric SUV, Prologue has gone on sale, offering up to 296 miles of range and starting at $47,400.

With the $7,500 federal tax credit, the Prologue’s starting price can fall to as low as $39,900.