Honda, the Japanese auto giant, is planning to open an electric vehicle (EV) plant in eastern Canada. This multibillion-dollar project is supported by both the federal government and the province of Ontario.

The plant will be located near Honda's existing manufacturing facility in Alliston, Ontario. The plan involves building an EV battery plant and producing fully electric vehicles.

This will be the third electric vehicle battery plant in Ontario, following Volkswagen and a Stellantis LG plant in Windsor. The deal is expected to involve capital commitments and tax credits.

The federal and Ontario governments are expected to make an official announcement about this project soon. This is a significant step towards the advancement of electric vehicle production in Canada.