Ford Motor Co. has postponed the start of electric vehicle production at its Oakville, Ontario plant to 2027.
The American car manufacturer initially planned to begin production in 2025 at the Canadian facility, which has 2,700 employees.
Ford announced last year that it would invest $1.8 billion to convert its Oakville assembly plant into a center for manufacturing electric vehicles, including vehicle and battery pack assembly.
The company states that the plant's renovation will still start in the second quarter of this year as scheduled, but the launch of the new three-row electric vehicles to be made at the factory won’t happen until 2027.
Ford spokesperson Said Deep mentioned that some workers will remain at the plant during the transformation, but there will be job cuts.
The company stated that it will collaborate with Unifor, the union representing workers at the plant, to lessen the impact of the delay on its workforce.
Ford president and CEO Jim Farley expressed the automaker's full commitment to manufacturing in Canada and his belief that the decision will aid the company in establishing a profitable and expanding business in the long term.
