Friday, September 25, 2026
PowerCo Canada announced it has selected leading EllisDon Corporation as general contractor for its St. Thomas gigafactory, marking a key milestone as the project advances into its next phase of construction.
The appointment enables work on-site to continue building on steady progress since groundbreaking in 2025. Construction is now moving into core infrastructure and structural phases that will support future production.
“Partnering with EllisDon allows us to keep construction moving while ensuring we retain the flexibility to scale the facility in line with market demand and long-term industry evolution,” said Joel Karlsberg, chief procurement officer, PowerCo Canada.
Initial works are focused on the first phase of development, including core building structures and site-wide infrastructure needed to support future production. Construction includes the production-building shell, mechanical, electrical and plumbing installations, energy and utility systems, and supporting site services. Approximately 60 EllisDon workers are currently on site, expected to ramp up to roughly 1,300 workers at peak, alongside additional personnel supporting parallel project activities.
“The PowerCo facility represents a transformative investment in Canada’s industrial future, and EllisDon is proud to play a role in its delivery,” said Max Mantha, president, Construction, EllisDon. “As a Canadian-headquartered, employee-owned company, we are committed to building the infrastructure that will help support Canada’s growing electric vehicle and battery manufacturing sector. This project will create opportunities for skilled tradespeople, local businesses, and communities across southwestern Ontario, and we look forward to working with PowerCo and our partners on this landmark development.”
In parallel, PowerCo is aligning the project’s timeline and product strategy with evolving market demand, technological advancements, and the Volkswagen Group’s long-term strategy. St. Thomas is now expected to begin operations in 2029 to accommodate next- generation battery technology, while retaining the flexibility to scale over time as market conditions evolve.
“The St. Thomas gigafactory remains a cornerstone of our North American strategy,” added Karlsberg. “We are continuing to build now while determining how and when the facility scales over time. This is about getting the pacing right—not stepping back—to protect our long-term investment, support regional jobs, and position Canada, Ontario, and St. Thomas to benefit in a dynamic and evolving market.”
Featured image: (PowerCo Canada)
