Government of Canada and Government of Ontario are investing with Honda in hybrid vehicle production in Alliston, Ontario

ALLISTON, ON, Nov. 13, 2026 /CNW/ — Today, the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, announced a $313 million investment through the Strategic Response Fund to support Honda Canada’s $867 million plan to retool its Alliston, Ontario, facility. For over a century, Canada’s automotive industry and its dedicated workforce have been a cornerstone of the country’s economy. The Government of Canada is taking actions to attract investments into the auto industry that will protect jobs that communities across the country rely on. The government is delivering on Canada’s automotive strategy by strengthening the industry today and investing in its future—one that is electrified, resilient and made in Canada.

This major investment will support the production of the next generation Honda Civic and Honda CR-V, increase electrified vehicle production, modernize manufacturing technologies and provide employees with training and upskilling opportunities. The project is expected to maintain over 4,000 jobs and support the production of up to 400,000 vehicles each year. The Government of Ontario is contributing an additional $156 million to the project.

The Government of Canada continues to stand up for Canada’s interests. This investment reflects the government’s broader commitment to building a stronger and more resilient economy by supporting major projects that create good jobs, attract investment and strengthen Canada’s industrial capacity. These priorities are reinforced through Budget 2026: Masters of our destiny, which includes measures to support innovation, productivity and long-term economic growth.

Quotes

“Canada is an auto nation, now and into the future. By investing $313 million in this project, the federal government is supporting the talent, technology and industrial strength that make Canada a global destination for vehicle manufacturing. Building on the Canada–Ontario action plan, we are working together to strengthen two industries at the heart of our economy by investing in the future of auto manufacturing and transforming our steel sector. This investment will strengthen our automotive supply chains, support thousands of well-paying jobs in Ontario and across the country, and help build a strong Canadian auto sector where workers build the cars of the future.”
– The Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions

“Ontario has long stood at the forefront of global auto manufacturing, and in the face of uncertainty, our government is taking dedicated actions to protect our world-class workers and sustain this vital industry. By bolstering our supply chains and fostering the conditions for investment, we’re ensuring that our strategic industries can withstand the pressures of the present day and remain resilient for generations to come. Honda’s investment is integral to this effort, and we look forward to seeing this retooling enhance Honda’s Alliston operations, while further anchoring Ontario workers at the heart of its North American supply chain.”
– The Honourable Vic Fedeli Ontario Minister of Economic Development, Job Creation and Trade

“For 40 years, Honda associates in Alliston have demonstrated the skill, innovation and commitment that have made our Canadian operations a cornerstone of Honda’s manufacturing network in North America. This renewed investment reinforces Canada’s critical role in Honda’s North American growth and hybrid-electric vehicle strategy and helps position our operations for long-term competitiveness and future opportunities. It reflects the dedication of our more than 4,000 associates and will generate lasting benefits for our suppliers, local communities and the broader Canadian economy. Together with the Government of Canada and the Province of Ontario, we are investing in the future of Canadian manufacturing and creating a foundation for continued growth, innovation and opportunity for generations to come.”
– Dave Jamieson, President and CEO of Honda Canada

Quick facts

• Honda is a global automotive industry leader headquartered in Tokyo, Japan. Honda Canada started production in Alliston, Ontario, in 1986. Today, the company has two automotive plants in Alliston that have the capacity to produce more than 400,000 vehicles and that employ over 4,200 workers. About 70% of Honda vehicles sold in Canada each year are built in Canada.
• The Strategic Response Fund helps Canadian industries innovate, adapt and compete in a changing global economy. It supports large-scale, transformative projects that build economic reliance, strengthen supply chains and protect good jobs in key sectors such as steel, aluminum, automotive, forest products and advanced technologies.
• Budget 2026 includes measures to strengthen Canada’s industrial competitiveness and support innovation in key sectors, including an expansion of the Strategic Response Fund to help Canadian businesses invest, scale up and compete globally.
• On October 21, 2026, the Government of Canada and the Government of Ontario launched a new Canada–Ontario action plan to protect workers from tariffs, strengthen Ontario industries and support long-term economic growth, including in the automotive manufacturing sector.
• On February 5, 2026, Prime Minister Carney announced Canada’s automotive strategy, which aims to secure domestic manufacturing, support innovation and attract new investment in electric vehicle manufacturing and connected technologies.
• The Canadian automotive manufacturing sector supports over 120,000 direct jobs. It contributed $17.1 billion to Canada’s gross domestic product in 2025 and is one of the country’s largest export industries. The sector is anchored by the presence of five automotive manufacturers—Stellantis, Ford, General Motors, Toyota and Honda—that are supported by a diverse supply chain of nearly 700 automotive parts manufacturers across Canada. In 2025, Canada produced over 1.2 million vehicles, ranking 14th globally in vehicle production.

Associated links

• The future of Canadian vehicles
• Strategic Response Fund
• Honda Canada

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