NextStar Energy Launches Battery Pack Production Line in Windsor
Canada’s first large-scale battery manufacturing facility has taken a significant step forward with the launch of a new battery pack production line at its Windsor, Ontario, plant. The expansion is designed to meet growing global demand and marks a major milestone for the Canadian battery industry.
Third Production Stage Added to Windsor Facility
NextStar Energy announced on Thursday that the expansion introduces a third production stage to the facility, complementing its existing battery cell and module operations. With the addition of pack production, the company can now integrate the entire battery manufacturing process — from cell to finished package — all under one roof in Windsor.
“By expanding pack production, we can now take a battery from cell to module or to a finished pack, all here in Windsor,” said NextStar Energy CEO Danies Lee in a media release. “This expansion reflects our commitment to capitalize on the rapid growth of the ESS market and is a significant step to also strengthen Canada’s position in the global battery supply chain.”
Meeting Growing Demand for Energy Storage Systems
The investment is expected to support increasing demand for energy storage systems (ESS) and broaden the company’s product range. Large lithium-ion battery systems are used to store electricity for data centers, utilities, and other high-demand applications. The rising penetration of data centers is a key driver behind the growing demand for ESS batteries.
NextStar Energy noted that the addition of another production line will help the company strengthen its position in the global battery supply chain, positioning Windsor as a critical hub in the international market.
Strategic Shift Amid Changing Market Conditions
The expansion comes as NextStar Energy continues to adapt its business strategy. Last November, the company decided to enter the ESS market as electric vehicle adoption continued to decline across North America. The $6 billion Windsor facility began mass production last November and had already produced one million cells by February.
Ownership Changes at the Windsor Plant
In a related development, Stellantis NV announced in February that it was selling its 49 percent stake in the Windsor battery factory to joint venture partner LG Energy Solution Ltd. for $100, giving the Korean company full control of the plant. The ownership transition underscores the evolving dynamics of the battery manufacturing sector as companies realign their investments in response to shifting market conditions.
With the new pack production line now operational, NextStar Energy is well-positioned to serve both domestic and international markets, reinforcing Canada’s growing role in the global energy storage landscape.
