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Ottawa Government Reportedly Ready To Invest $500M In Ford Oakville Assembly Plant

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The future of the Ford Oakville Assembly Plant in Oakville, Ontario, Canada is very much up in the air at the moment. Canadian union Unifor selected Ford as its pattern agreement target in ongoing labor negotiations because it feels like the Oakville plant, where the Ford Edge and Lincoln Nautilus are produced, is its most pressing issue. As Ford Authority recently reported, Nautilus production will end at the plant in July 2024, while the next-gen Edge, also produced in Oakville, has reportedly been cancelled. It’s also possible that the production of these models will shift to China.

Regardless, as we reported last week, incoming Ford CEO Jim Farley noted that the negotiations with Unifor were “going great,” so there is certainly reason for optimism. And now, according to Canadian news site The Star, it appears that government officials are also willing to lend a hand, financially speaking, to ensure that the Ford Oakville Assembly Plant sticks around.

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Specifically, Ottawa officials have reportedly told Ford that they’re willing to invest up to $500 million in electric vehicle production at the Oakville plant. Ottawa has made it clear that it’s willing to “do what it takes” to bring electric vehicle production to Ontario, and expects its funding to be part of a much larger $2 billion investment for a new mandate at the Ford Oakville Assembly Plant.

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The exact amount of the initial investment is currently being negotiated, but the report notes that the subject of retooling the plant for electric vehicle and battery production is a key component of the ongoing labor negotiations. That process is expected to begin as soon as next year, and would help ensure that the plant’s 4,000 or so employees could keep their jobs for the foreseeable future.

“The choice to dedicate the Oakville Assembly Plant to the production of battery electric vehicles shows alignment between Ford’s commercial priorities and Canada’s commitment to sustainable growth,” said Innovation Minister Navdeep Bains. “It also reflects our productive dialogue in recent months, built on top of an enduring partnership.”

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We’ll have more on this developing situation as soon as it’s available, so be sure and subscribe to Ford Authority for more Ford business news and 24/7 Ford news coverage.

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Written by Brett Foote

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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2 Comments

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  1. Ford management had better realize that Americans are not going to purchase Chinese made vehicles in any quantity. Buick is making lots of notable improvements with the Envision, but as long as they make it in China, it will be a sales flop.

  2. The story has been updated to add that Ford is hoping to build FIVE different electric vehicles at the site and Ontario has indicated they will kick in a half billion. GREAT news for Canada and the workers.

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