Canada’s EV battery supply chain surpasses U.S., a close 2nd to China
Originally posted on Investontario.ca
Canada’s major growth in the EV and auto manufacturing sectors reflected in BloombergNEF 2022 global ranking
This year Canada saw a historic rise to second place in the BloombergNEF’s 2022 global lithium-ion battery supply chain ranking. The nation surpassed the United States, placing a close second to China.
Canada’s strengths in raw materials, environmental, social and governance factors (ESG) factors and industrial infrastructure helped it jump three spots from fifth to second in just one year.
Canada’s rise in the rankings “reflects its large raw material resources and mining activity, as well as its good positioning in [ESG] and infrastructure, innovation, and industry,” says BloombergNEF in an article released accompanying the report.
Canada impressively ranked within the top 10 of each key theme: availability and supply of raw materials (3rd); manufacturing of battery cells and components (8th); local demand for electric vehicles (EVs) and energy storage (10th); infrastructure, innovation and industry (4th) and finally, environmental, social and corporate governance (ESG) (6th).
“Canada’s recent investment in its upstream clean energy supply and increasing demand in the US-Mexico-Canada Agreement (USMCA) region increases the country’s competitiveness,” says BloombergNEF.
Ontario—Canada’s economic engine—has proved to be an EV battery powerhouse and a vital contributor to the country’s battery supply chain. As a jurisdiction, the province unto itself has an end-to-end ethical supply chain for battery production.
When it comes to critical minerals, Ontario boasts $11 billion in annual mineral production and produces a third of Canada’s nickel and a quarter of the country’s cobalt and copper, all necessary for the production of EV batteries.
The province has truly become a hub for tomorrow’s EV. Ontario has had more than $16 billion in recent investments from automotive and EV battery giants such as Honda ($1.4B), Umicore ($1.5B), Ford ($1.8B), GM ($3B), Stellantis ($3B) and a Stellantis and LGES partnership ($5B). And we’re just getting started!
