$300M Michelin expansion to support production of electric vehicle tires in N.S.
Investment will create an estimated 70 new jobs at the Bridgewater facility
Michelin and the federal and provincial governments have announced they will spend $300 million to expand the company's facilities in Nova Scotia, which could create dozens of new jobs at its Bridgewater plant.
The tire manufacturing company said it would spend $140 million on the Bridgewater plant, and an unfinalized agreement with the federal government could see the company receive an additional $44.3 million in funding through the Strategic Innovation Fund.
Michelin will also receive a provincial tax credit of about $61.3 million over five years to help fund the expansion.
The funding will also be used to cut emissions at the company's operations in the province through electrification.
The CEO and president of Michelin North America, Alexis Garcin, said the company's investment would create an estimated 70 new jobs at the Bridgewater plant.
"We know that a thriving and growing manufacturing family here in Bridgewater contributes to thriving schools, businesses, sports, arts and culture across generations in the communities around this plant," Garcin said.
The expansion is expected to be completed by 2025.
Prime Minister Justin Trudeau said a modernized Bridgewater plant will produce tires for the growing electric vehicle market.
Trudeau said the changes will benefit not only the economy, but the environment as well.
"I know for Canadians, the environment matters deeply. But the fight against climate change for decades was always put in the context of, 'Oh, well, you can either protect the environment or you can grow the economy. You can't do both together.'"
But Trudeau said more companies from around the world are now investing in Canada to produce goods with clean energy.
Nova Scotia Premier Tim Houston said the capital investment tax credit of $61.3 million will support both Michelin and the province.
"I'm very pleased to say that today, just as Michelin is saying yes to Nova Scotia, Nova Scotia is saying yes to Michelin," Houston said.
"I'm obviously very, very focused on fixing health care and paying for the fixing of health care — those are my two things. You can't pay for the fixing of health care without growing the economy, attracting new businesses but [also] supporting those businesses that are already here."
Speaking to CBC's Tom Murphy, Bridgewater mayor David Mitchell said the investment will help secure employment in the area for generations.
"The plant has been a staple of our community for 52 years," Mitchell said.
"This secures decades more of employment for the over 1,200 employees that work there directly, plus the many, many thousands that are indirectly impacted by this in our community."
Some of the money will also flow to Michelin's plants in Pictou and Waterville.
The company has been manufacturing tires in the province since 1971 and employs about 3,600 people in Nova Scotia.