Following by way of on hints made in late 2020, Lion Electrical Co. at present introduced their new battery pack manufacturing unit will likely be located in Quebec and operational by 2023
Canada’s electrical automobile battery provide chain is one step nearer to realization with at present’s affirmation from Quebec-based electrical bus OEM, Lion Electrical Co., that it’ll construct a battery pack manufacturing plant and innovation centre in its house province. The manufacturing unit will price $185 million — with $50 million every coming from the Quebec and federal governments — and can manufacture lithium-ion battery packs and modules.
At peak capability, Lion says the plant’s output will likely be able to electrifying 14,000 medium- and heavy-duty automobiles yearly.
The announcement follows months of hypothesis that, as a result of an inflow of American monetary backing, Lion would arrange the plant within the U.S. Nonetheless, in an unique interview in November with Electrical Autonomy Canada, Lion CEO Marc Bédard mentioned the corporate’s SPAC partnership with investor Northern Genesis — which is able to see Lion listed on the New York Inventory Alternate as soon as the transaction concludes — meant he was “very optimistic” that they’d construct the plant in Canada.
“This manufacturing unit will permit Lion to combine a elementary component to the provision chain of our electrical automobiles,” mentioned Bédard in a launch issued in tandem with the announcement, the place he was joined by Prime Minister Justin Trudeau and Quebec Premier François Legault.
“Due to the financing supplied by the federal and provincial governments, we’ll now be capable of manufacture in Canada what we beforehand imported. Lion, Quebec and Canada will achieve from this, each on the financial and environmental fronts, to the nice good thing about generations to return.”
A primary in Canada
Lion says the automated manufacturing unit’s capability will likely be 5 gigawatt-hours, which equates to manufacturing of a battery module each 11 minutes and a full battery pack each 5 minutes. The corporate’s press launch on the announcement reads, partially, “Lion Electrical would be the first Canadian producer of medium and heavy-duty automobiles to equip itself with its personal automated battery pack manufacturing functionality.”
The manufacturing unit will create 135 direct jobs, with lots of extra oblique jobs predicted. “We’re persevering with to take steps to help our Canadian companies, put money into innovation, and shield the surroundings,” mentioned Prime Minister Trudeau within the press launch.
Added Quebec Premier Legault: “With its new amenities on the cutting-edge of robotization, the corporate will be capable of improve its productiveness and can additional its contribution to the expansion of our economic system. Within the precise context of financial restoration, that is the kind of initiative that may assist Quebec differentiate itself in promising sectors, corresponding to that of batteries, and one which my authorities commits to help.”
Constructing the battery provide chain
Lion is one in every of 5 main electrical bus producers headquartered in Canada. The corporate has made main development strides within the final 12 months and has develop into a nationwide instance of electrical mobility potential. This manufacturing unit additional cements Lion’s standing as an electrical OEM within the North American market and supplies an vital paving stone in Canada’s street to a vertically built-in battery nationwide provide chain.
The final word prize in fulfilling that offer chain objective would be the building of a battery cell manufacturing facility, which might carry a price ticket of about $1.5 to $2 billion.
Calling additional improvement of nationwide battery sector “a precedence for our authorities,” Pierre Fitzgibbon, federal minister of economic system and innovation, mentioned Lion helps to amplify Canada’s popularity as a distinguished participant within the mid to heavy-duty automobile sector — notably in electrical buses. A few of Lion’s largest contracts are held by Amazon and CN — each firms seeking to transition their fleets within the coming years with Lion automobiles.
Lion didn’t disclose the brand new manufacturing unit’s location, saying that these particulars will likely be introduced quickly. It hopes to start out building in just a few months.