Tesla Lobbying Ontario Government Amid Efforts To Establish Canadian Manufacturing Plant

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Tesla Inc is lobbying the Ontario government as part of an effort to establish an “advanced manufacturing plant” in Canada, according to a filing by the electric vehicle maker with the Office of the Commissioner for the integrity of the province.

The company’s Canadian unit is working with the government to “identify opportunities for industrial facility permit reform,” the July 18 amended filing said.

Tesla and the office of Ontario’s Minister of Economic Development, Job Creation and Trade did not immediately respond to requests for comment.

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Canadian Industry Minister Francois-Philippe Champagne said in May that there were “very active discussions with a number of players” to develop an electric vehicle supply chain in Canada.

Tesla ramped up production with CEO Elon Musk last week, half-jokingly talking to shareholders shouting “Canada” — “We have a lot of Canadas, I’m half Canadian, maybe I should.”

He said the company “may be able” to announce a new factory later this year and eventually have 10 to 12 gigafactories. Tesla manufactures vehicles at two factories in the United States and one in Germany and China.

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U.S. EV makers are also looking to source materials and build cars closer to home to diversify supply chains and reduce reliance on China, the world’s largest battery supplier. for electric vehicles.

Such efforts could gain momentum thanks to a $430 billion bill approved by the US Senate on Sunday that bans automakers from using materials made in China by phasing in required percentages of genuine battery components. North American.

After 2023, vehicles with batteries containing Chinese parts could not receive the credit, while critical minerals also face supply limitations.

(Reporting by Akash Sriram in Bengaluru; Editing by Arun Koyyur)

© 2022 Reuters

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