The federal government has announced historic partnerships with two leading German automakers Volkswagen AG and Mercedes-Benz AG as it pursues its goal to ensure Canada is a destination for investments in on the manufacturing of electric vehicles and batteries.
The Volkswagen agreement focuses on deepening cooperation on sustainable battery manufacturing, cathode active material production and critical mineral supply, among others, and on setting up a Canadian office for PowerCo, Volkswagen’s newly formed battery company.
The Mercedes-Benz agreement focuses on enhancing collaboration with Canadian companies along the electric vehicle and battery supply chains; supporting the development of a sustainable critical mineral supply chain in Canada that is based on environmental, social and governance principles; collaborating in research and development; and identifying potential investments in Canada.
The recent visit by François-Philippe Champagne, Minister of Innovation, Science and Industry, to Germany in May was the catalyst for these agreements. During his trip, he met with key business and industry leaders to communicate Canada’s automotive value proposition.
“Canada is quickly becoming the green supplier of choice for major auto companies, including leading European manufacturers, as we transition to a cleaner, greener future. By partnering with Volkswagen and Mercedes, Canada is strengthening its leadership role as a world-class automotive innovation ecosystem for clean transportation solutions. Canada is committed to building a strong and reliable automotive and battery supply chain here in North America to help the world meet global climate goals,” Champagne said.