General Motors and labor union Unifor said on Friday they have reached a tentative deal for the automaker to invest almost C$1 billion ($788 million) in its CAMI Assembly Plant in Ingersoll, Ontario, for manufacturing commercial electric vans.
Under the tentative deal, which hasn’t been ratified by the union workers as of yet, the automaker has agreed to start large-scale commercial production of EV600, an electric van, at its CAMI plant, Unifor said.
The automaker said in a separate statement that work would start immediately at the plant.
The new deal builds upon the latest investments by GM in Canada, which in November had agreed to invest C$1 billion in its Oshawa plant for expanding production of its full-size pickup trucks.
The Canadian government welcomed the deal and said it would confirm its support once the union members ratified the deal.
“We await the results of the ratification vote,” Canadian Foreign Affairs Minister François-Philippe Champagne said in a statement.