Dive Brief:
- Goodyear is expanding and modernizing its Napanee, Ontario, tire plant to meet the growing demands of the electric vehicle and all-terrain markets, according to a company release on Monday.
- The CAD $575 million ($418.6 million) investment will include building expansions, new equipment and capabilities as well as create 200 manufacturing jobs, increasing the facility’s workforce to over 1,000.
- Construction began earlier this year and is expected to be completed by mid-2027, according to the release.
Dive Insight:
The Napanee facility, built over 35 years ago, is already a net-zero waste-to-landfill site. However, Goodyear plans to integrate new environmental solutions to enhance energy efficiency and reduce carbon emissions, the release stated.
Goodyear is receiving additional support from the Canada government of CAD $44.3 million ($32.3 million) and the Ontario government with a CAD $20 million investment ($14.6 million) for implementing new technologies and skills training programs. The company will also receive CAD $2 million ($1.5 million) from local municipalities.
The expansion project will continue to support new co-op opportunities for students every year, according to the Canada Pime Minister Justin Trudeau’s press release.
Canada has been prioritizing the growth of its auto sector, which contributed $18 billion to the country’s 2023 GDP and serves as one of its largest export industries, the government release stated.
Several other auto giants have promised future investment in the country. In April, Honda Motor Co. and its joint venture partners announced a pledge of up to CAD $15 billion ($11 billion) to build out an electric vehicle supply chain in Canada. The money includes a new EV factory and a separate battery plant in Alliston, Ontario, about three hours west of Napanee.
In their joint venture, NextStar Energy, Stellantis and LG Energy Solution invested over CAD $5 billion ($3.6 billion) in an EV battery manufacturing facility in Windsor, Ontario, set to open in 2025.
