North American Battery Supply Chain Emerging

Despite having all of the critical ingredients for lithium-ion batteries — nickel, cobalt, lithium, graphite — Canada doesn’t have any EV cell or component manufacturing; and it has only about 10% of the battery demand of the U.S. Combined with a lack of government support for the battery supply chain, it had seemed that Canada was destined to lose the value-add of its raw materials as they are exported to countries that had invested in battery production…

Despite the promising foundations for Canada to be a cornerstone of the North American battery supply chain, until recently it had appeared that there was a lack of support at the government/policy level to attract the industry. This is no longer the case, in just the last two weeks two cell manufacturers have been enticed to set up shop in Canada, with plans to build gigawatt-hour scale cell manufacturing facilities in the country.

Once a country has cell manufacturing capacity, the rest of the component manufacturing industry tends to follow as suppliers move close to their customers. So, Canada is now on course to create a strong domestic battery supply chain…

As EV growth continues in North America, a new supply chain super-hub is growing to challenge the dominance of China, and it is quickly catching up with the growing industry in Europe.

Since the GOUSA is the earliest, potentially-growing EV market, we may wake up some morning and learn the folks smart enough to bankroll electric cars and trucks have decided it’s worthwhile playing in every portion of this 21st Century marketplace.