Ottawa to promote Mercedes-Benz, Volkswagen supplies for electrical automobile batteries

Ottawa is anticipated to signal separate agreements with Volkswagen and Mercedes-Benz on Tuesday that can see the 2 German auto producers safe entry to Canadian uncooked supplies for batteries in electrical autos.

Prime Minister Justin Trudeau and German Chancellor Olaf Scholz are anticipated to watch the signing ceremony in Toronto on the second day of a three-day go to by the German chief, who changed Angela Merkel in December.

The 2 memorandums of understanding will contain securing Canada’s place within the two firms’ provide chains on the subject of constructing electrical autos, in keeping with a senior authorities official.

That features the availability of Canadian cobalt, graphite, nickel and lithium wanted for EV batteries, mentioned the official, who spoke on situation they not be recognized as a result of the agreements had not but been signed.

Scholz hinted on the pending memorandums of understanding between Canada and the German auto producers throughout a information convention with Trudeau in Montreal on Monday.

“I’m pleased to see that along with the numerous declarations which were made and signed between firms throughout our go to, Volkswagen and Mercedes is one instance,” he mentioned in German.

The agreements come one week after U.S. President Joe Biden signed a plan to supply tax credit for electrical autos produced in North America, not solely these in-built the US.

Additionally they comply with a string of promised investments by different electric-vehicle producers into the Canadian automotive business.

Greater than $13 billion was promised in simply eight weeks this previous spring to construct the wanted battery provide chains and shift manufacturing from combustion-engine to plug-in autos.

That was on high of one other $3.5 billion promised within the final 4 years, together with investments to make electrical faculty and transit buses, produce and course of important minerals wanted to make batteries, and for analysis and improvement amenities.

Ottawa to signal MOUs with Mercedes-Benz, Volkswagen on supplies for #ElectricVehicles. #CDNPoli #CriticalMinerals #EVs

This report by The Canadian Press was first revealed Aug. 23, 2022.

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