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Canada · Economy

Ottawa puts $30M into Hitachi Energy plant in London, Ont.: Canada's first pressboard factory

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Industry Minister Mélanie Joly announced a $30-million federal investment in Hitachi Energy Canada Inc. backing a $478.8-million project in London, Ontario — Canada's first electrical-grade pressboard manufacturing facility, able to produce up to 20,000 tonnes a year of insulation material for high-voltage transformers.

Why it matters

This will be the first time Canada manufactures electrical-grade pressboard for high-voltage transformers domestically. With grid modernization, electrification, renewables and data-centre expansion driving power demand, Ottawa wants Canada positioned as a strategic supplier in North America's energy-infrastructure supply chain — while opening a high-value new market for Canadian wood fibre as forest products face what the government calls unjustified tariffs.

Full report

According to a Government of Canada news release dated October 16, 2026, the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, announced in London, Ontario a total federal investment of $30 million in Hitachi Energy Canada Inc. in support of its $478.8-million project.

The funding is split: $20 million through the Strategic Response Fund and $10 million through the Investments in Forest Industry Transformation program. The new facility will use innovative manufacturing technology and automation to turn wood fibre into up to 20,000 tonnes annually of electrical-grade pressboard and laminated insulation materials for high-voltage transformers.

The release says the investment will strengthen domestic supply-chain capability and support the long-term competitiveness and modernization of Canada's forest sector by creating new markets for Canadian forest products.

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