Ontario mayor remains hopeful Honda’s EV plant will be built, despite delay

The mayor of an Ontario municipality set to be the home for Honda’s now-postponed $15-billion electric vehicle project says he is not giving up hope.

New Tecumseth Mayor Richard Norcross says he is disappointed with Honda’s decision but he will continue to advocate for the project, which was expected to create about a thousand jobs.

Honda says it is delaying its scale-up in the community of Alliston, which includes a battery plant and retooled vehicle assembly line, for about two years as it monitors market conditions.

It’s the biggest project delay so far in Canada blamed on a weakened outlook for electric vehicle sales, and it comes as the company expects a drop in profits because of U.S. tariffs.

Ontario Premier Doug Ford says Honda assured him the company remains committed to the project.

He says he is confident that Prime Minister Mark Carney can reach a trade deal with Trump that will lead to a mutually rewarding relationship when it comes to the auto industry.

This report by The Canadian Press was first published May 13, 2025.

The Canadian Press