EcoPro BM has announced that it will suspend construction of its planned battery plant in the municipality of Bécancour, Quebec. Behind the decision are two factors, neither of which are hard to guess: U.S. tariffs, and slower-than-projected growth in EV sales.
While the company said the pause is temporary, it did not provide a timeline for when construction activities might resume. According to EcoPro, the decision to pause constructed was deliberated over recent weeks, and is a direct result of current circumstances.
"Uncertainties continue to hover over the electric vehicle and battery sectors, exacerbated by the challenges posed by tariffs imposed by the United States. These factors are significantly impacting the company's key decision-making processes," the company stated in a press release.
A troubled project
This isn't the first time construction has been interrupted at the Bécancour plant. Work was halted for two lengthy periods last year. The project began in the fall of 2023. Production at the facility was initially scheduled to begin in early 2026.
It's worth remembering that Ford was initially a partner in this plant project, but the automaker withdrew last year, citing changes in electric vehicle technology and costs. Despite Ford's withdrawal, EcoPro stated that it still believed in the plant's viability and remained committed to continuing its construction.
For Quebec, this marks a second thorny issue after the Northvolt case. Let's hope that EcoPro's pause is indeed only temporary.
The firm stated that it remains "actively engaged" with automakers and battery manufacturers "to effectively navigate through this complex situation."