Canada and Quebec Invest $100M in Lion Electric Battery Plant

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Another great day for electric mobility in Canada. Photo: Lion Electric

Lion Electric announced the construction of a battery manufacturing plant and innovation centre in Quebec.

The factory is planned to begin operations in early 2023 and will produce battery packs and modules made from Lithium-ion cells. Construction is projected to break ground over the next few months at a location to be confirmed shortly.

The project and its development represent an investment of approximately $185 million by Lion, who will benefit from important support by the federal and provincial governments of approximately $100 million (amounting to $50 million each).

With a planned yearly production capacity of 5 gigawatt-hours in battery storage, Lion will be able to electrify approximately 14,000 medium and heavy-duty vehicles annually.

The manufacturing plant and innovation centre will offer many strategic advantages, including a reduction in its battery system production cost as well as a stable line of procurement of battery packs. The factory is projected to produce one battery module every 11 seconds and a full battery pack every 5 minutes.

Lion Electric will be the first Canadian manufacturer of medium and heavy-duty vehicles to equip itself with its own automated battery pack manufacturing capability, utilizing cutting-edge technology.

This announcement will help Canada and Québec reach their climate change and Zero Emission Vehicle targets while creating high-paying, high-quality sustainable jobs for Canadian workers.

Click here to read our latest story with Lion Electric, the only manufacturer in Canada that builds Type C (school) buses, and their impact on Canadian fleets.

Justin Trudeau, Prime Minister of Canada

“With today’s announcement, we are continuing to take steps to support our Canadian businesses, invest in innovation, and protect the environment. It is because of companies like Lion Electric that we are accelerating our transition to a resilient and competitive clean growth economy.”

François Legault, Quebec Prime Minister

“In Quebec, we are fortunate to have leaders such as Lion Electric to help build a greener, more durable economy. With its new facilities at the cutting-edge of robotization, the company will be able to increase its productivity and will further its contribution to the growth of our economy.

“In the actual context of economic recovery, this is the type of initiative that can help Quebec differentiate itself in promising sectors, such as that of batteries, and one that my government commits to support.”

François-Philippe Champagne, Minister of Innovation, Science and Industry

“Lion is synonymous with innovation and bold entrepreneurship, and a key player in Canada’s journey toward a sustainable, green growth future. Investments like the one announced today support job creation and our long-term prosperity, and position Canada as a leader in electric transportation.

“The electrification of transportation is a major driver for achieving our economic and climate objectives. That is why we are proud to support and assist Lion in this major milestone.”

Pierre Fitzgibbon, Minister of Economy and Innovation

“This new factory will contribute to the development of the battery sector, a priority for our government, and to the blossoming of Lion Electric. The company is gaining increasing recognition in North America for its electric school buses and trucks while experiencing healthy growth, as demonstrated by notable contracts recently obtained from Amazon and CN, for example.”

Marc Bédard, CEO and Founder of Lion Electric

“Lion is an important player in Quebec and Canada’s ecosystem of electrification of transportation. This factory will allow Lion to integrate a fundamental element into the supply chain of our electric vehicles. Thanks to the financing provided by the federal and provincial governments, we will now be able to manufacture in Canada what we previously imported. Lion, Quebec and Canada will gain from this, both on the economic and environmental fronts, to the great benefit of generations to come.”

Daniel Breton, President & CEO, Electric Mobility Canada

“This is another great day for electric mobility in Canada. Such an announcement, after those regarding the electric vehicle assembly plants in Ontario last fall and the announcement of support for the acquisition of electric buses a few weeks ago, is a clear indication of how serious the governments of Canada and Quebec are about the future of the ZEV (Zero Emission Vehicle) supply chain and the creation of sustainable, quality jobs in electric mobility across Canada.”

“Electric Mobility Canada applauds the leadership of Lion Electric and the governments of Canada and Quebec in this visionary electric vehicle battery plant project and is proud to have been able to support Lion Electric, a member of Electric Mobility Canada, in this process.

“As the national organization dedicated to electric mobility across the country, Electric Mobility Canada supports its members as well as all orders of governments with their innovative ideas, projects and programs in the exciting field of transportation electrification.”


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