As electric vehicle innovation evolves at record speed, Export Development Canada is picking up the pace to provide support for suppliers, manufacturers and developers in the burgeoning industry

This article is Sponsor Content presented by Export Development Canada (EDC)

As Canada’s export credit agency, Export Development Canada (EDC) has been a leading financial supporter of the automotive industry for more than 20 years.

We’ve developed a strong reputation within traditional internal combustion engine supply chains and worked closely with industry participants, including primary materials suppliers, tool/die/mold manufacturers, parts and service manufacturers, logistics providers and original equipment manufacturers (OEMs).

We’ve also collaborated with industry to develop unique and innovative solutions to meet the needs of the supply chain. We’ve adapted our standard insurance solutions to include provisions specific to the production part approval process (PPAP), start of production (SOP) payment terms and piece-price amortization.

We’ve also connected hundreds of Canadian suppliers to international opportunities, helping them diversify their customer base.

But like the automotive industry, EDC is at a critical juncture in our ability to grow and support the industry as the transition towards electric vehicles (EVs) accelerates. 

Switching gears

Within the industry, this transition started a few decades ago, as new features started appearing in the automotive supply chain, forcing the industry to adapt and align with innovation. The initial changes were subtle — moving from carburetors to fuel injection, steel to high-strength aluminum and, more recently, introducing powerful turbochargers to increase vehicle speed and efficiency. 

But vehicles have now grown from basic modes of transportation to high-tech tools designed to improve our quality of life with infotainment features, like wireless internet and touchscreen navigation, as well as onboard vehicle diagnostics, advanced driver assistance systems and blind-spot monitoring.

We’re now stepping over the threshold of the next major development — new sources of propulsion and the potential of fully automated, driverless vehicles. This represents a fantastic new opportunity for consumers, the environment, and industry to reduce emissions and consumer operating costs and increase supply opportunities and infrastructure development.

“EDC is focused on finding solutions to the needs of Canadian companies seizing opportunities within the EV value chain. Our Relationship Managers are there to build strong, long-term relationships with companies in this industry, understanding that success is a long-term goal enabled by effective communication, collaboration, and service delivery,” says Guillermo Freire, EDC’s Senior Vice-President in the Medium segment.

“Our goal is to build strong relationships within the industry and support companies as they work towards their strategic goals.”

So how is EDC responding to this transition?

We’ve created a dedicated subset of our Relationship Managers who specialize in the technology industry, enabling greater interaction with the digital side of the transformation. We’ve also developed new partnerships and solutions to support companies in this space, supporting their ability to serve the industry.

EDC is one of the leading providers of project financing in Canada. In conjunction with the focus on developing the EV industry, we’ve been actively working with the mining industry to help realize the potential of Canada’s critical mineral industry needed for electric vehicles, including nickel, copper, cobalt and lithium.

EDC is collaborating with other key stakeholders in the Government of Canada to encourage and support foreign companies investing in Canada. By encouraging this inbound investment, it better positions Canada along the value chain for future export success.

How EDC can help

If your company is engaged in the electric vehicle industry — be it at the early stages of the supply chain, the tooling or parts industries, automotive technology, or in the charging infrastructure ecosystem — EDC is here to help address your exporting needs.

Our team offers a suite of solutions to help you succeed on the road to the EV future.

If you have questions about the EV industry and how EDC can support your company growth, tune in to our webinar, Exploring the road ahead for Canada’s EV industry, March 30 at 1 p.m.

Can’t attend the live broadcast? No worries. The webinar will be available afterward on demand.

Mike Brownhill is a Commercial Account Director at Export Development Canada. He has been with EDC since early 2000, with various roles spanning the Insurance and Business Development groups, including credit analysis, transaction underwriting, new business development and sector-specific business development.