Rumours and speculation surround Honda’s future EV plant in Alliston, Ont.

The Ontario government and federal government acknowledge halted plans for Honda's EV Canada plant. Siobhan Morris reports.

Honda Canada Manufacturing (HCM) remains silent amidst speculation that plans for the multi-billion dollar EV plant are on hold in Alliston, Ont.

The rumours come after a Japanese news outlet, Nikkei Asia, reported plans for an EV factory in Canada are ‘shelved’.

In a statement to CTV News, HCM Corporate Communications spokesperson Ken Chiu says they have not released any information: “The content of the article was not released by Honda, and we have nothing to report at this time.”

In a late Wednesday afternoon statement from the Town of New Tecumseth, Mayor Richard Norcross said he’s aware of recent media reports about Honda’s decision to halt electric vehicle facility plans.

“Our community has a long and proud history as a centre of automotive manufacturing, and Honda remains a valued and significant partner in New Tecumseth,” said Norcross.

“We will continue to work collaboratively with Honda and all our manufacturing partners to support ongoing operations, protect local jobs, and position our community for future investment opportunities.”

In May 2025 – one month after manufacturing restructuring rumours – HCM said it was pausing its plans for the $15 billion EV project at the Alliston location.

This isn’t the first time rumours have been swirling surrounding HCM’s future in Alliston.

In April last year, a report published by Nikkei Asia said the automaker might be moving production from Canada and Mexico to the U.S. to combat increased tariffs on imported vehicles.

While Honda didn’t fully deny the Japanese news outlet’s report, it did say, “This was not an announcement by Honda and we cannot comment on the specifics of this morning’s headlines.”

• Honda responds to report some Alliston, Ont. production may move to U.S. amid tariffs

Prime Minister Mark Carney acknowledged that the Canadian auto industry is facing “challenges” due to U.S. tariffs.

“There are challenges with the U.S. tariffs, unjustified tariffs in the auto sector,” Carney said to reporters on Wednesday morning in Ottawa. “We’ll continue to work with companies in the sector, helping them reposition, reinvest, supporting workers there. We’ll continue to do what’s necessary, including getting the right deal in Canada’s interest.”

Carney did not mention Honda specifically.

Honda first announced it would build an EV and battery facility in 2024. The plan was unveiled shortly after that.

The first production of Honda CR-V Hybrids got underway in November 2022.

With files from CTV’s Stephanie Ha