Lion Electric announces the construction of its battery manufacturing plant and innovation centre in Quebec

Lion Electric (Lion), an innovative manufacturer of all-electric trucks and buses, announced today the construction of a battery manufacturing plant and innovation centre in Quebec. Utilising cutting-edge technology, the factory is planned to begin operations in early 2023 and will produce battery packs and modules made from Lithium-ion cells. Construction is projected to break ground over the next few months at a location to be confirmed shortly.

Lion Electric signage

The project and its development represent an investment of approximately CAD $185 million (£106 million/$149 million) from Lion. They will also benefit from important support by the federal and provincial governments of approximately CAD $100 million (£57 million/$80 million).

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With the construction of the plant, Lion, who are best known for producing electric school buses for North America, predicts to see a considerable reduction in the cost of its vehicle manufacturing, while ensuring control and optimisation of a key component of its vehicle supply chain. Given the battery is the most expensive component of an electric vehicle, this new manufacturing capability will have a direct impact on the development of heavy-duty electric transportation while also offering important environmental and economic benefits.

With a planned yearly production capacity of five gigawatt-hours in battery storage, Lion will be able to electrify approximately 14,000 medium and heavy-duty vehicles annually. The manufacturing plant and innovation centre will offer Lion many strategic advantages, including a reduction in its battery system production cost as well as a stable line of procurement of battery packs.

Highly automated, Lion’s factory is projected to produce one battery module every 11 seconds and a full battery pack every five minutes. Lion Electric will be the first Canadian manufacturer of medium and heavy-duty vehicles to equip itself with its own automated battery pack manufacturing capability, utilising cutting-edge technology.

Amazon Truck by Lion

Lion’s innovation centre will focus on research and development, with the goal of exploring and achieving new advancements in performance, range, energy capacity and the development of innovative products. This will allow the company the flexibility needed to rapidly adapt to emerging technologies.

Marc Bédard, CEO and founder of Lion Electric, said: “Lion is an important player in Quebec and Canada’s ecosystem of electrification of transportation. This factory will allow Lion to integrate a fundamental element to the supply chain of our electric vehicles.

“Thanks to the financing provided by the federal and provincial governments, we will now be able to manufacture in Canada what we previously imported. Lion, Quebec and Canada will gain from this, both on the economic and environmental fronts, to the great benefit of generations to come.”

The Hon. François-Philippe Champagne, minister of innovation, science and industry, said: “Lion is synonymous with innovation and bold entrepreneurship, and a key player in Canada’s journey toward a sustainable, green growth future.

“Investments like the one announced today support job creation and our long-term prosperity, and position Canada as a leader in electric transportation. The electrification of transportation is a major driver for achieving our economic and climate objectives. That is why we are proud to support and assist Lion in this major milestone.”

Ian Osborne
Ian Osborne
Editor-in-Chief at ElectricDrives

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