Magna announces Ontario expansion
The Canadian PressGeneral Automotive
Auto parts maker’s $470M investment includes new Brampton facility to make EV battery enclosures.
BRAMPTON, Ont. – Magna is announcing it is putting more than $470 million into bolstering its Ontario operations, including an electric vehicle battery enclosure facility northwest of Toronto.
The company says the new operation in Brampton, Ont., as well as expansions to its locations in Guelph, Belleville, Newmarket, Windsor and Penetanguishene are expected to create more than 1,000 jobs over the next few years.
The provincial government announced that it is supporting Magna’s expansion with $23.6 million in funding through Invest Ontario. Economic Development, Job Creation and Trade Minister Vic Fedeli says it will help Ontario create an end-to-end electric vehicle supply chain.
Magna says the new Brampton location – a leased facility – should be in operation later this year. The expansions include adding e-coat, molding and welding capacity to its exteriors plant in Guelph to support electric vehicle production.
The company’s Canadian expansion follows from an announced deal with General Motors to supply the automaker with battery enclosures for its 2024 Chevrolet Silverado EV line beginning in late 2023.
Magna says it will produce those enclosures at its Magna Electric Vehicle Structures facility in St. Clair, Michigan, where it currently produces the battery enclosure for the GMC HUMMER EV. First opened in 2021, the St. Clair facility is currently adding a 740,000 square-foot expansion to support the EV market, the company says.
Required by all EVs, battery enclosures protect a vehicle’s high-voltage battery and electrical components from damage and water intrusion while also reinforcing the EV frame’s structural and safety aspects.
“The accelerating shift toward vehicle electrification opens up exciting growth opportunities for Magna beyond powertrain,” said the president of Magna’s body and chassis group, John O’Hara. “We have been able to leverage our expertise to supply battery enclosures – a product for which we see strong potential going forward.”
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