EV battery materials supplier opening in Windsor, expected to create more than 100 jobs
NEO Battery Materials makes materials it says will increase battery range and lower prices
A company that's developing materials for lithium-ion batteries in electric vehicles has confirmed plans to establish operations in Windsor, Ont.
NEO Battery Materials Ltd. is an Ontario-based business that's developing silicon anode technology that it says will increase EV battery range and bring down prices, according to Senior Vice President of Strategy and Operations Danny Huh.
It is Canada's first silicone anode production facility, its CEO said.
"Windsor is where all the battery innovation is happening within Canada," Huh told reporters at a news conference on Thursday.
"You may be familiar with the resource report by BloombergNEF. They have ranked Canada as the number one company for the global battery supply chain rankings. And here in Windsor, that is where all the innovation ... all the good is happening so it just made sense for us to come here to Windsor."
The five-year-old company, led by a father and son team, expects to employ more than 100 people when fully operational, Huh said.
Goal is to train Windsorites to be leaders in the field
About 80 per cent of those jobs will be on the manufacturing side and about 20 per cent in areas such as administration, logistics and procurement.
Many of the manufacturing jobs will require degrees in chemical, electrical and industrial engineering, Huh added.
But there will also be jobs for college-educated engineering technicians.
"Our first strategy is to bring in experts from the world that have actual expertise within battery materials manufacturing," Huh said.
"But ultimately ... we want to grow out as a ecosystem here within Windsor, as well as Ontario, training Canadian employees and Canadians to become one of the leaders within battery materials manufacturing."
Huh said NEO "optimistically" hopes to break ground in the latter half of 2025 on its $69 million, 87,000-square-foot facility, which will be located on three hectares of surplus land at the Windsor International Airport.
It hopes to begin the first phase of production in late 2026 or early 2027.
It plans for future phased expansion with investment totalling approximately $120 million over eight years, according to Invest WindsorEssex.
"Today's announcement is a testament to Windsor's strategic location, skilled workforce and leadership in the automotive and EV industries," said Windsor Mayor Drew Dilkens, chair of Invest WindsorEssex.
"NEO Battery Materials' decision to invest in our city highlights our ability to attract forward-thinking companies that drive innovation and create opportunities for our community."
U.S. retreat from EV promotion an opportunity for Canada, Chamber says
The president and CEO of the Windsor-Essex Regional Chamber of Commerce said it feels great to see continued investments in the EV sector despite moves by U.S. President Donald Trump to back away from promoting EV adoption south of the border.
"I think a lot of it is politically driven," Tony Haddad said.
"The technology is there. The investment is there. The interest is there, and I think it's going to continue. And perhaps it could be even something that works in our favour that we're proceeding with it, if the U.S. decides to back away from it to some extent."
Huh said Trump's moves to revoke the Biden administration's non-biding EV sales targets and potentially repeal a $7,500 tax credit for new EV purchases — combined with the end of Canada's federal rebates for EV purchases — were "bad news for consumers."
But he said the real growth in EVs will come from innovations like NEO's that will drive down prices.
"We're completely excited about the journey that we are taking because silicon anodes is what ultimately is going to drive the innovation within the next five to 10 years," Huh said.
"So we're not too concerned about the short term ... changes within the policy."
Liberal MP Irek Kusmierczyk told reporters Thursday that he will push for renewed federal incentives for EV purchases, and he too sees the Trump administration's abandonment of EV targets as an opportunity for Windsor.
"When I see the United States take their foot off the gas when it comes to Investing in clean technology and investing in EV', batteries, nuclear, hydrogen ... there's an opportunity for Canada to be the jurisdiction of choice in North America for those clean tech investments," Kusmierczyk said.
"There is a clear opportunity here for Canada to be the world leader in electric vehicles."
With files from Dalson Chen