First Canadian-Built Civic Hybrid Rolls Off the Line as Honda Embraces Electrification
June 27 2024,
In another step towards its electrification goals, Honda of Canada Mfg. (HCM) has commenced mass production of the 2025 Honda Civic Hybrid sedan at its Alliston, Ontario plant. This marks the first time the Civic Hybrid has been manufactured on Canadian soil, representing a crucial milestone in Honda's strategy to transition to 100% electric vehicle sales by 2040.
A New Era for Canadian Automotive Manufacturing
The launch of Civic Hybrid production is a direct result of Honda's $1.38 billion investment to upgrade HCM's facilities. This substantial commitment has not only secured thousands of high-quality jobs but also positioned the Alliston plant as the North American lead for both CR-V and Civic Hybrid production.
Jean Marc Leclerc, President and CEO of Honda Canada Inc., emphasized the significance of this achievement: "Honda of Canada Manufacturing is a proud, Canadian innovation story that invests strategically in technology and its associates on the path to electrification." He acknowledged the complexities and challenges faced by the automotive industry in transitioning to an electrified future, highlighting the importance of support from government, suppliers, partners, and dealers in this journey.
Empowering the Workforce and Community
The retooling of HCM's production lines for hybrid manufacturing has had far-reaching impacts. Bobbi Curran, Vice President of Honda of Canada Mfg., noted that all 4,200 associates at HCM are now involved in Honda's electrification strategy. This involvement extends beyond the factory floor, with enhanced job training initiatives, expanded inclusive hiring practices, and research and development programs aimed at reducing environmental impacts.
The investment has also yielded benefits for the broader Canadian auto industry, including employees, their families, and local communities. The Civic Hybrid's production is expected to account for approximately 60% of all Civic sales in Canada, underlining its importance in the market.
Looking Ahead: Honda's EV Value Chain in Canada
While celebrating the Civic Hybrid milestone, Honda is already setting its sights on the next phase of electrification. The company has announced plans to establish a comprehensive EV value chain in Canada, including the construction of four new plants. Two of these facilities will be built alongside the existing Alliston operations.
This ambitious project aims to cover all aspects of EV production in Canada, from raw material procurement to finished vehicle assembly. By leveraging knowledge gained from its Ohio EV Hub and capitalizing on Canada's abundant resources and clean energy, Honda intends to create a stable supply system for EV batteries and enhance the overall cost competitiveness of its electric vehicles.
The proposed EV plant is expected to have an annual production capacity of 240,000 vehicles, while the battery plant will be capable of producing 36 GWh per year. Honda anticipates that EV production will commence in 2028, securing the current 4,200 jobs at its Ontario facilities and adding at least 1,000 new positions.
A Transformative Impact on Canadian Industry
The introduction of Civic Hybrid production and the planned expansion into full EV manufacturing represent a transformative moment for Canada's automotive sector. These initiatives promise to create significant spinoff jobs, stimulate the construction sector, and position Canada as a key player in the global transition to sustainable transportation.
