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Federal government giving Volkswagen up to $13B in subsidies to secure EV battery plant

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The federal government has agreed to give Volkswagen up to $13 billion in subsidies over the next decade as part of a deal to ensure the automaker builds its electric-vehicle battery plant in southern Ontario.

The contract follows promises by Ottawa to remain competitive with the U.S. and convince electric vehicle battery producers to set up their plants in Canada. But the price tag is raising eyebrows. 

“This is game-changer for our nation,” said Innovation Minister François-Philippe Champagne while fielding questions from reporters Thursday. 

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The federal government will provide annual production subsidies to the German automaker and kick in funds for the massive factory in St. Thomas, which is estimated

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This story was originally published on  CBC News. To read the rest of this news worthy story, please visit https://www.cbc.ca/news/politics/volkswagen-subsidies-stthomas-1.6816824?cmp=rss.

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