More than 20 years following closing its Boisbriand plant, General Motors (GM) is returning to Quebec in Bécancour to build a $500 million battery cathode factory with POSCO and the support of governments.
“That GM is coming back to Quebec is great news. We integrate into the North American supply chain,” welcomed the Minister of Innovation, Science and Industry, François-Philippe Champagne, yesterday in Montreal.
“What will be done in Bécancour will be used for all GM plants in North America,” he added with a smile in his voice.
For the occasion, he summoned the media to a GM dealership in Montreal with gleaming Bolts alongside Quebec Ministers of Energy, Jonatan Julien, and Environment, Benoit Charette.
The Minister of the Economy, Pierre Fitzgibbon, on a mission to Israel, participated remotely, like Scott Bell, CEO of GM Canada, who was not on site.
Three days following the announcement of German giant BASF’s billion-dollar active cathode materials (CAM) manufacturing plant in Bécancour, GM’s new $500 million, 200-job plant was music to the ears of these ministers who push the battery sector.
Few details on aid
In turn, François-Philippe Champagne and Pierre Fitzgibbon said they were ready to put money on the table to welcome the American manufacturer, without however providing more details for the moment.
“We are talking regarding 200 jobs for the first phase. All financing will be structured according to commitments from GM and Posco,” explained Pierre Fitzgibbon when asked regarding job guarantees.
Five years ago, GM finally repaid what was left of a $110 million interest-free loan tied to its closed Boisbriand plant.
However, today, in the midst of the race for electric vehicles, automotive giants like GM are placing their marbles to secure their battery materials so as not to run out of production.
To achieve this, GM is counting on Quebec and the new Bécancour facility, which will produce active cathode materials for its batteries.
This technology will find its way into vehicles like the Chevrolet Silverado EV, GMC HUMMER EV and Cadillac LYRIQ.
Last December, the management of GM and POSCO Chemical publicly announced the creation of a joint venture. The site for the processing plant in North America, however, had not been disclosed.
It will be Quebec.
In recent months, 100% electric cars Bolt (GM) and Kona (Hyundai) have alternately been recalled due to fire risks.
GM in Quebec
The new GM and POSCO battery cathode factory in Bécancour
- Jobs created: 200
- Amount of public aid: unknown at the moment
The former GM plant in Boisbriand
- Number of employees : 1200
- Public aid: loans of 220 M$ (110 M$ of Ottawa and 110 M$ of Quebec)
Source : GM et MarketScreener