The "Last Mile" Synergy

Recent articles in La Presse regarding tips for reducing transport costs, coupled with futuristic footage of robotaxis on YouTube and rumors of Chinese auto plants establishing themselves in Quebec, compel us to reflect.

We are at a crossroads. On one side, Montreal is investing billions in heavy infrastructure (REM, the Blue Line extension, the Tramway project). On the other, individual automotive technology is undergoing its greatest revolution since Ford.

How can these two worlds coexist to create a richer real estate and human ecosystem?

Here is our study.

1. The Economic Context: The Urgency of Affordability

Transportation represents the second largest expense for Quebec households, right after housing, often consuming between 15% and 20% of net income.

• The Chinese Opportunity: Chinese manufacturers (such as BYD or NIO) are eyeing the North American market. Quebec, with its hydroelectricity, is a logical host.

• Their Strength: Offering electric vehicles (EVs) at costs significantly lower than current standards (sometimes 30% cheaper).

• The Impact: If Quebec were to become a manufacturing hub, it would not only reduce fleet acquisition costs for car-sharing but also create a local circular economy.

2. Car-sharing and Robotaxis: The "Capillaries" of the Network

The Réseau express métropolitain (REM), EXO, and the METRO are the arteries of the system: they move masses quickly over long distances. The problem remains the "last mile." This is where technology steps in.

• The Robotaxi Model: Imagine autonomous vehicles, available 24/7, that belong to no one but serve everyone. Unlike a standard Uber, the cost of labor disappears, making the trip to the REM station affordable.

• The Evolution of Car-sharing: Services like Communauto could integrate these fleets of autonomous vehicles (Chinese or otherwise). The user no longer rents a car for the day, but for the micro-trip connecting them to heavy transit.

  
  

3. Statistics and Budgetary Impacts

To understand the viability of this hybrid model, let’s look at the numbers:

• Public Investment: The REM (original network) represents an investment of approximately $7.9 billion. To make such infrastructure profitable, ridership is key.

• Target Ridership: The goal is hundreds of thousands of daily trips. If access to stations is difficult (due to a lack of park-and-ride spots), the objective fails.

• Savings for the User: Owning a car costs approximately $11,000 per year (CAA-Quebec). Using a mix of "REM + occasional Robotaxi" could reduce this bill by 50% to 60%.

  
  

4. Social and Real Estate Impact: The End of Parking?

This is where the impact on urban development is most radical.

• Smart Densification (TOD - Transit Oriented Development): If residents of new neighborhoods near the REM no longer need a second car thanks to robotaxis and fluid car-sharing, developers can drastically reduce parking ratios.

• Space Saving: An underground parking spot costs between $40,000 and $60,000 per space to build. Eliminating this need reduces housing construction costs, fostering affordability.

• Social Inclusion: Robotaxis offer newfound mobility to the elderly or those with reduced mobility who cannot drive, allowing them to reach public transit hubs without depending on family.

  
  

A Necessary Complementarity

The future of mobility in Montreal does not lie in a duel of "Car vs. Public Transit." The solution lies in complementarity.

The potential arrival of Chinese manufacturers in Quebec could provide the necessary affordable fleet. Robotaxis and modernized car-sharing will act as flexible shuttles, feeding the REM and tramway lines.

For the real estate sector, this is the green light to build living environments focused on humans, rather than on storing vehicles that sit motionless 95% of the time.

Industrial Strategy: Why Quebec Could Become the Promised Land for Tomorrow's Automakers

While major industrial projects are experiencing slowdowns, Quebec possesses major strategic assets: mega-industrial sites ready for construction (like the Northvolt site) and abundant green energy.

This analysis proposes a bold roadmap: attracting a major manufacturer (potentially Chinese) to produce locally. The goal? To move from producing affordable electric vehicles to creating an autonomous robotaxi fleet, providing the missing link in our collective mobility.

The Quebec Opportunity

Current events present a paradox. On one hand, consumers are crying out against automotive inflation; on the other, Quebec is sitting on an industrial goldmine waiting to be tapped. If we combine the availability of exceptional land (think of the zone planned for Northvolt in Montérégie or the battery hub in Bécancour) with our hydroelectricity, we have the perfect ingredients to woo global automotive giants—particularly Chinese ones—seeking a North American base.

Here is how this implementation could transform into a mobility revolution in three acts.

1. The Irresistible Draw: Land, Energy, and Green Image

For a manufacturer like BYD, NIO, or Xpeng, setting up in Quebec is strategic for three reasons:

• "Plug-and-Play" Real Estate: Land like that prepared for the Northvolt project (170 hectares) is rare. It offers immediate proximity to infrastructure (rail, highway) and the Montreal market. If current projects slow down, these lands become available assets for players with solid capital.

• Hydroelectricity as an Eco-Label: Building electric vehicles (EVs) with fossil fuels (as is often the case in Asia) hurts the carbon footprint. Quebec offers 99.8% clean electricity. This is a massive marketing argument for selling these vehicles in the West: a battery "Made in Quebec" is a greener battery.

• Bypassing Trade Barriers: Producing on North American soil potentially allows manufacturers to avoid certain import surtaxes and access Canadian and American markets under a different label.

  
  

2. The Evolutionary Roadmap: From "Low-Cost" to Robotaxi

Establishing a factory should not aim solely for retail sales. It must follow a 15-year development plan:

• Phase 1: The Affordable Offer (2026-2030): The factory's first mandate would be to produce compact, affordable EVs (in the $25,000 to $35,000 range), filling the void left by American and Japanese manufacturers focusing on luxury SUVs. This democratizes access to electric vehicles for the Quebec middle class.

• Phase 2: The Service Fleet (2030-2033): The factory orients its production toward specific models for car-sharing (Communauto, Téo Taxi). Robust vehicles, easy to clean, designed for short-term rental. This drastically reduces acquisition costs for these local companies, allowing for lower fares for users.

• Phase 3: Autonomy and the Robotaxi (2034+): This is the ultimate goal. By collaborating with the Quebec AI ecosystem (Mila, IVADO), the manufacturer develops driverless shuttles. These vehicles are no longer sold but deployed as a service. They become the "red blood cells" of the transport system, circulating 24/7 to feed the main arteries (REM, Metro).

  
  

3. Economic and Budgetary Impacts

• Direct Investment: The establishment of such a gigafactory represents a private investment of $5 to $7 billion.

• State Revenue: Unlike consumption subsidies, here the State sells its energy. A major industrial contract for Hydro-Québec secures recurring revenue for decades.

• Societal Cost: By replacing the ownership of a second car with the use of low-cost "Made in Quebec" robotaxis, disposable income is freed up for households, re-injected into the local economy rather than into car loans and insurance.

  
  

4. Meshing with Public Transit

This is where the urban vision makes perfect sense. The Quebec factory does not produce competitors to the REM, but its allies.

Imagine living 5 km from a REM station in the East End or on the South Shore.

• Today: You take your car, look for parking (often saturated), and pay for parking.

• Tomorrow: An autonomous shuttle, produced in Bécancour or McMasterville, picks you up at your door for $3. It drops you off at the REM platform. It immediately leaves to pick up another user.

• Result: Zero parking required, total fluidity, minimal cost.

Quebec has the land (the legacy of projects like Northvolt). Quebec has the energy. Quebec has a crying need for affordable mobility.

All that is missing is political vision and will (perfect in this election era) and the bold industrial partner to transform these assets into an easily achievable futuristic project that will redefine how we live in the city.