The Quebec coach builder will develop a new platform that supports electric and other zero-emission propulsion. Here's what the federal money covers.
The federal government is putting $18.5 million into Prevost, the coach bus maker in Sainte-Claire, Quebec. Innovation, Science and Economic Development Canada announced on October 16, 2026 that the money comes from the Strategic Response Fund and supports an $87.5 million project to develop the One Prevost Platform, a new vehicle base built for several propulsion types, including zero-emission options.
According to the ISED release, the Strategic Response Fund money backs the One Prevost Platform, a new coach platform that will support multiple propulsion technologies, including clean and zero-emission options. François Tremblay, president of Prevost and Volvo Group Canada, said the funding will support "the development of a new commuter motorcoach for the public sector as well as the electrification of our X-series model." The release doesn't give a timeline for an electric coach going on sale.
Prevost: the funding supports "the electrification of our X-series model."
The release says the investments respond to "U.S. trade actions on Canadian-made cars, trucks and buses" and that the project aligns with the auto strategy Prime Minister Carney announced in February 2026. It also says "Canada's climate targets require rapid adoption of zero-emission buses" and that domestic production "accelerates deployment by reducing procurement delays." The Strategic Response Fund has $5 billion to help firms hit by tariffs adapt (same source).
The release says Prevost sells coaches in Canada and the United States to private and public customers, and that the project is meant to keep its manufacturing in Sainte-Claire and position Canada as a hub for advanced bus manufacturing. An electric X-series built in Quebec would be a made-in-Canada zero-emission coach option, though the release gives no timeline.
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