NextStar Energy says it has begun production on battery modules at a southwestern Ontario plant.
The modules made by the joint venture pairing carmaker Stellantis STLA-N with LG Energy Solution are grouped in battery packs which ultimately power electric vehicles.
The start of their production marks a significant milestone for the Windsor, Ont., manufacturing facility. NextStar says the final phase of operations will begin next year, when cell manufacturing begins.
It promises its facilities will be capable of building an annual production capacity of 49.5 gigawatt-hours, enough to power 450,000 vehicles per year.
The battery plant is expected to draw upwards of $15 billion in government funding through incentives linked partially to how many batteries it produces.
When the facility is at capacity, NextStar says it will employ 2,500 people. About 450 have been hired so far.