Ahead of the 2023 EV & Charging Expo, it’s critical to consider how attracting FDI helps Canada seize this once-in-a-generation opportunity
This article is sponsored content presented by Invest in Canada.
The EV & Charging Expo is slated to attract thousands of private and public sector decision makers — from commercial fleet operators to municipal transit authorities and government officials — to Toronto.
The national trade show and conference, held at the downtown Enercare Centre on May 17 and 18, features information vendors, ride-and-drives in the latest commercial EVs and a series of talks from key players in the EV industry that have electrified their fleets.
It is an EV knowledge-sharing and networking event on a scale not seen before in Canada. It’s also occurring now, when it is critical for Canada to seize the once-in-a-generation economic opportunity.
Countries across the globe are aiming to reach net-zero emissions by 2050. EVs play an integral part in successfully achieving that. With a swath of natural resources and local talent in Canada, the country is well-suited to attract major international companies driving that goal.
“Decarbonizing the transportation sector is one of the most important things we can do to combat the reality of climate change. As a country that is committed to achieving net-zero emissions by 2050, Canada is right at the centre of this generational opportunity,” says Laurel Broten, CEO at Invest in Canada.
In short: this is a transformational transition toward clean transportation which comes along about once a century. And, if we don’t act decisively and strategically on this pivotal moment, the rest of the world will seize the opportunities.
FDI now and in the future
Building a globally competitive EV battery supply chain requires investment from global companies. That means competing with other countries for foreign direct investment (FDI). And Canada is succeeding in attracting these investments.
Take Volkswagen, Stellantis, Ford, General Motors, Umicore, LG Energy Solutions, Posco Future M Co Ltd and more. These are all FDI investments in Canada’s EV supply chain that have come into the country in the last 18 months. Collectively they represent billions of dollars in investment and economic returns as well as generations worth of jobs for thousands of Canadians.
Canada’s value proposition for FDI in the EV supply chain is founded on a number of factors, including:
- Access to talent;
- Proximity to the United States;
- An abundance of critical mineral resources and mining expertise;
- Established foreign OEMs and a robust Tier 1 supplier ecosystem; and
- A clean grid with renewable energy to reduce the overall carbon footprint for manufacturing.
Canada is the only country in the western hemisphere that has all the critical minerals — including graphite, nickel, aluminum, copper and lithium — to build batteries, which are the heart of the electric vehicle.
Today Canada’s lithium-ion battery supply chain ranks second in the world. And the proximity to resources, refining and processing makes cathode manufacturing in the country a lucrative proposition for potential investors.
Although Canada’s electricity sector is already “82 per cent non-emitting,” the federal government wants to completely decarbonize the country’s energy grid by 2035.
Canada is currently the world’s third largest producer of hydroelectricity. And over two-thirds of the country’s energy come from renewable sources, especially hydro and solid-biomass-powered sources.
Provincially, Quebec has some of the lowest utility costs in North America, at 3.3 cents per kilowatt hour, while Ontario, Manitoba and British Columbia offer competitive utility costs for industrial users in their provinces.
This increases Canada’s future value as the “clean supplier of choice” worldwide in the EV supply chain.
Invest in Canada’s role in attracting FDI
Attracting FDI requires a coordinated strategy among Canadian governments and industry.
That is where Invest in Canada makes its impact.
As the national global investment attraction and promotion agency, Invest in Canada is the primary point of contact for foreign investors and works directly with companies and government partners to identify the right opportunities for investments and expansion.
Invest in Canada has the global expertise and the connections to support the development of a sustainable EV sector in Canada.
“Invest in Canada is helping find the best global companies to invest and accelerate Canadian leadership in EV and battery supply chains,” said Broten.
To realize the full economic, environmental and social benefits of a successful transition to zero-emission transportation and a sustainable EV supply chain, Canada must continue to attract foreign interest and investments.
This is transformational moment — and Canada is poised to take advantage of it.
For more information on and tickets for the EV & Charging Expo, visit here.
Invest in Canada works directly with global investors to unlock investment opportunities and facilitate expansion in Canada. We bring industry, community and government partners together to offer seamless services that make it easy for you to grow your operations in Canada.