CP NewsAlert: Quebec ends funding for Northvolt battery factory

By Canadian Press on September 2, 2025.

MONTREAL — The Quebec government says it is ending funding for Northvolt’s planned battery plant in the province’s Montérégie region.

Economy Minister Christine Fréchette says the government made its decision after the company failed to produce an acceptable plan for Quebecers.

The government has spent $510 million on the project, and has lost a $270-million investment made in Northvolt’s Swedish parent company before it filed for bankruptcy in March.

Quebec hopes to recover a $240-million guaranteed loan issued to purchase the land for the plant.

The American company Lyten last month announced it hoped to purchase control of the Northvolt battery project in Quebec and said it was in discussions with the federal and provincial governments.

Fréchette says the failure of the project does not spell the end for Quebec’s battery industry.

This report by The Canadian Press was first published Sept. 2, 2025.

The Canadian Press

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