In an Oct. 25, 2010 photo, a Goodyear tire is displayed in Montpelier, Vt. (AP Photo/Toby Talbot)
Goodyear Canada is set to invest over $575 million to expand and modernize its plant in Napanee, Ontario, focusing on the production of electric vehicle and all-terrain tires while enhancing energy efficiency.
Prime Minister Justin Trudeau and Ontario Premier Doug Ford were present for the announcement at the Napanee facility on Monday, highlighting the project's significance. The initiative will be supported by both federal and provincial funding, with Goodyear receiving up to $44.3 million from the federal Strategic Innovation Fund and $20 million from Ontario's Invest Ontario program.
Trudeau emphasized that Goodyear's investment reflects confidence in Canada's auto industry and its workforce. He noted the success Canada has had in attracting electric vehicle battery plants, particularly in Ontario, where three are currently being developed.
"We chose to support our auto workers and invest in the future of the industry, and the results speak for themselves," Trudeau said. He praised Canada’s advantages, including clean energy, climate action, access to natural resources, stable institutions, strong trade relationships, and a skilled workforce.
However, not all news in the electric vehicle sector has been positive. Last month, Umicore paused spending on a battery materials plant near Goodyear’s Ontario facility, citing reduced growth expectations for the EV market. Additionally, in April, Ford delayed its planned EV production at a plant in Oakville, Ontario, by two years. In June, the company shifted its focus away from EVs to Super Duty pickup trucks.
Despite these challenges, Trudeau defended Canada's push to become a leader in electric vehicles and related supply chains. He pointed to Bloomberg's ranking of Canada as the top destination for EV supply chain investments, affirming that the country is making the right choices for the future.
Conservative labour critic Kyle Seeback, however, criticized Trudeau’s approach to the auto sector. He accused the Prime Minister of spending billions of taxpayer dollars to attract foreign workers, driving investment out of Canada, and failing to protect industries from cheap imports from China. Seeback's criticism comes as the Liberal government completed consultations on imposing tariffs on Chinese-made electric vehicles and launched an additional consultation to potentially extend tariffs to other industries.
Goodyear's president and CEO, Mark Stewart, shared that the Napanee plant expansion will involve modernization, new state-of-the-art equipment, and the creation of 200 highly skilled jobs by 2027. He expressed gratitude for the strong partnerships with various levels of government and the local community, emphasizing the importance of the project for both the company and Napanee residents.
The expansion project also aims to achieve net-zero emissions at the Napanee plant by 2040.
