Canada backs Prevost platform upgrade to support bus manufacturing and emissions shift

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Canada backs Prevost bus upgrade

Highlights

The Government of Canada is providing $18.5 million through the Strategic Response Fund to Prevost for the $87.5 million One Prevost Platform modernization project in Sainte-Claire, Quebec.
The investment aims to support multiple propulsion technologies, including clean and zero-emission options, while addressing challenges from U.S. trade actions on Canadian-made vehicles.
The project will maintain 1,265 full-time equivalent jobs, create 156 co-op terms for students, and strengthen Canada's advanced bus manufacturing and electric vehicle battery supply chain.

Federal funding targets platform modernization

As announced by the Government of Canada, Prevost, a division of Volvo Group Canada Inc., is receiving $18.5 million through the Strategic Response Fund to support development of a new vehicle platform at its Sainte-Claire, Quebec operations. The One Prevost Platform is designed to support multiple propulsion technologies, including clean and zero-emission options, within an overall project valued at $87.5 million.

The federal government says the investment is intended to help maintain a strong Canadian vehicle industry as manufacturers respond to challenges created by U.S. trade actions on Canadian-made cars, trucks and buses. The project also aims to strengthen Prevost's supply chain and research and development capacity, while aligning with Canada's auto strategy announced in February 2026.

Jobs, regional manufacturing and supply chain impact

The funding is expected to help secure Prevost's long-term manufacturing presence in Sainte-Claire and support the creation of new intellectual property tied to advanced bus production. Ottawa says the project positions Canada as a hub for advanced bus manufacturing while supporting the shift toward lower-emission transportation.

According to the government, the project will maintain 1,265 full-time equivalent jobs and provide 156 co-op terms for students in Canada. Officials say the support is meant to preserve jobs threatened by tariffs and bolster the local economy in the rural Quebec community, while reinforcing Canada's role in the global vehicle and electric vehicle battery supply chain.

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