CN: Hanon Systems Expands Manufacturing Capability in Ontario, Creating Nearly 300 Jobs | Trade and Industry Development

CN: Hanon Systems Expands Manufacturing Capability in Ontario, Creating Nearly 300 Jobs

Nov 06, 2024
Production is expected to start in the first half of 2025, with an annual production capacity of up to 900,000 electric compressors.

Hanon Systems, a leading global automotive thermal management supplier for electrified mobility, announced a new plant in Woodbridge, Ontario, Canada, to support its growing business with global vehicle manufacturers.

The facility includes approximately 284,200 square feet (26,400 square meters) of manufacturing space, with room for expansion based on business needs. It will be the company’s first North American location to produce electric scroll compressors, which are essential components for thermal management in hybrid and battery electric vehicles. Depending on customer demand, the facility can produce up to 900,000 electric compressors annually. At full production, the plant expects to employ nearly 300 hourly and salaried employees.

“We are pleased to expand our manufacturing presence to increase proximity to vehicle manufacturers and better meet customer demand. This expansion also demonstrates our commitment to growth, and proves customer confidence in our ability to deliver electric compressors to the market,” said Nurdal Kücükkaya, president and co-chief executive officer.

“We investigated several locations for the new plant. Our partnership with the government of Ontario and investment development agency has been a significant element in our decision,“ added Subu Nagasubramony, president and co-chief executive officer. “We are proud to foster local community development and the growth of its economy.”

“Our province has all of the elements necessary to build the electric vehicles of the future, including leading global parts manufacturers like Hanon Systems who are continuing to choose Ontario to expand and grow their operations,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “Hanon Systems’ investment in Woodbridge will create 300 new, local jobs for our world-class auto workers and strengthen our reputation as a North American leader in automotive manufacturing.”

The new facility in Canada joins the four existing electric compressor manufacturing operations located in Pyeongtaek (Korea), Dalian and Changchun (China), and Portugal (Europe), and reinforces its competitiveness by expanding production of key components for hybrid and battery electric vehicles.

Company executives and local dignitaries gathered at a media event to announce the new plant, which is expected to start the production in the first half of 2025.

Hanon Systems has a proud 35-year history in Canada. The Belleville plant, established in 1989, has been producing fluid transport products, HVAC modules and electronic coolant valves for the North American market. Located 200 kilometers from Belleville, the new Woodbridge plant will create synergies with the company’s Americas Innovation Center in Novi, Mich., and will benefit from its proximity to major automakers, allowing the company to respond quickly to customer demands.