Asia Tech Wire (Apr 22) -- Japanese automaker Honda Motor Co. is on the verge of reaching an agreement with the Canadian government on a multibillion-dollar electric-car investment commitment, according to Bloomberg.

Honda may announce the deal within a week, which involves Honda's commitment to put billions of dollars into new facilities, making southern Ontario, Canada, a key center for the company's electric vehicle (EV) manufacturing plans in the North American market, the report said.

The Japanese automaker will process cathode active materials, make EV batteries and assemble battery-powered EVs at the new facilities.

Under the deal, the Canadian government will subsidize a portion of Honda's capital costs.

Honda has a manufacturing plant in Alliston, Ontario, about an hour's drive north of Toronto, where it makes the Honda CR-V and Civic models.

According to Honda's official website, the company builds hybrid vehicles at plants in Ohio and Indiana, and plans to begin production of the first U.S.-made all-electric vehicles next year in Marysville, Ohio.