East Central Reporter

Pritzker-supported Lion Electric Company is facing liquidation and an auction of its assets. The Montreal-based company, which had planned to open an assembly plant near Joliet, Illinois, was strongly supported by Governor Pritzker when it announced in May 2021 that Illinois would be its hub for manufacturing electric battery-powered school buses. This plant was expected to create up to 1,400 jobs and officially opened in July 2023 with Governor Pritzker attending the ribbon-cutting ceremony.

Despite operating in Channahon, Illinois during 2023-2024, Lion Electric struggled as few U.S. school districts purchased their electric buses. The heavy use and frequent stops required for school bus schedules were not ideally suited for electric vehicles. Consequently, Lion faced a cash flow crisis after starting its assembly lines and hiring workers. Lenders demanded repayment, leading to the company's insolvency process. The factory shut down, workers were laid off, and the firm offered itself for sale.

Recently, an insolvency court-appointed monitor reported that no reasonable offers have been received for Lion Electric's assets that could enable a new owner to resume operations. This report allows creditors to proceed with liquidating the company's assets immediately. It has been suggested that equipment from the Channahon plant will be sold at a public auction on May 15, leaving behind a 900,000-square-foot empty facility.

Governor JB Pritzker previously expressed optimism about the project: “Lion’s historic investment to bring its largest production facility to Illinois represents not only a win for our communities but a strong step forward in our work to expand clean energy alternatives and the jobs they bring.” He added that the Joliet facility would position Illinois at the forefront of transitioning to zero-emission vehicle use.

State Representative Chris Miller criticized the situation: “Pritzker was so happy to talk about a 'win' for communities, and less than five years later, Lion Electric is dead broke and selling everything they own,” said Miller. He further commented on what he sees as wasted money on pushing agendas opposed by residents while pursuing zero-emission vehicle use in Illinois.