Industry Minister Mélanie Joly says the federal government is exploring defence applications for Canadian-made EV batteries, suggesting they could power ships or submarines. She confirmed Ottawa will continue supporting EV battery plants while requiring manufacturers such as Volkswagen to use more Canadian steel and aluminum.
The announcement comes as Ottawa pauses penalties tied to its EV sales mandate, which automakers had criticized. Joly emphasized that subsidies for battery factories are performance-based, paid only when jobs are created and production begins. She said Canada’s resources and workforce give it a competitive edge as Ottawa develops a defence-focused industrial strategy.
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