OTTAWA - Goodyear Tire and Rubber Company announced a half-billion-dollar expansion of its Canadian plant to make tires for electric vehicles.
The Can$575-million project -- which will add 200 jobs to 1,000 existing ones at its Napanee, Ontario plant -- is backed by Ottawa and the province of Ontario which are pitching in a combined additional Can$64-million for its construction.
Prime Minister Justin Trudeau's liberal government has aggressively pursued investments in the auto sector transition to EVs, that has led to a Can$46-billion boost to batteries and electric vehicle (EV) manufacturing as well as critical minerals mining.
Canada's strategy -- which has enticed Honda, Volkswagen, Stellantis and others with subsidies -- follows that of the neighbouring United States, whose Inflation Reduction Act has provided a host of incentives for green industry.
At a news conference Trudeau touted Canada's "abundant clean energy and a commitment to serious climate action, access to critical minerals and other natural resources, stable and reliable, democratic institutions, strong trade relationships," and skilled workers.
He noted that Goodyear plans to manufacture an additional two million tires at the Napanee facility.
"By the way, why do we need electric vehicle tires that are different?" he added. "Well, electric vehicles are heavier, they have more torque, so they need more resistance in the wheel, and they need to be quieter when the loudest thing on a car is not the engine but the tires."