Ford Motor Company (NYSE:F), alongside a consortium of South Korean companies, announced Thursday that the group would build a C$1.2 billion ($887 million) facility capable of producing electric vehicle battery materials in Becancour, Quebec.
According to Canada's industry ministry, the small 15,000 person town of Becancour on the St. Lawrence River is seeking to become a hub for EV supplies.
According to a statement from the ministry, the consortium is made up of EcoPro BM Co Ltd (KQ:247540) and SK On Co Ltd, both South Korean companies. The factory will eventually produce 45,000 tons of cathode active materials (CAM) per year for Ford EVs.
In a separate statement, Ford characterized the materials as premium Nickel Cobalt Manganese (NCM), designed for rechargeable batteries aiming to achieve enhanced performance and extended electric vehicle range.
"This cathode facility will supply the material that goes into Ford's future EVs in North America, specifically some of our future trucks," said Ford’s VP of EVs, Lisa Drake.
Canada's federal government will provide the group with a conditional loan of C$322 million and Quebec will offer the same amount as a partially forgivable loan. The factory is expected to be operational in the first half of 2026, creating more than 345 jobs.
Shares of F are up 0.84% in afternoon trading Thursday.