Stellantis Battery Plant Subsidy Likely to Exceed What Trudeau Gave Volkswagen

Expert pegs public cost of battery plant at C$19 billion
Canada ponied up C$13 billion to woo German auto giant

Justin Trudeau speaks at a Stellantis facility in Windsor, Ontario last year. Across the border from Detroit, the city is a key hub of Canada’s auto industry.Photographer: Emily Elconin/Bloomberg

Provide news feedback or report an error

Confidential tip?

Send a tip to our reporters

Site feedback:

Take our Survey

By Brian Platt and Gabrielle Coppola

May 31, 2023 at 3:15 PM UTC

Updated on

May 31, 2023 at 9:39 PM UTC

This article is for subscribers only.

Stellantis NV is likely to receive more in subsidies for a new electric-vehicle battery plant in Canada than the C$13 billion ($9.5 billion) Volkswagen AG extracted for a similar project, according to an expert who has crunched the numbers.

Stellantis and South Korean partner LG Energy Solution Ltd. announced the factory in Windsor, Ontario last year, but have halted construction while they negotiate more financial aid from Prime Minister Justin Trudeau’s government. The companies are seeking the equivalent of what they would receive under the Inflation Reduction Act if they located the plant in the US.