Global demand for clean technologies and electric vehicles is soaring, creating a $500-billion-plus opportunity for Canada, who is well-positioned to supply critical minerals reliably and responsibly to the world. Earlier this year, G7 leaders endorsed a Critical Minerals Action Plan to diversify supply, spur investment and innovation, and build resilient, responsible supply chains. Budget 2025 built on this momentum by committing $2 billion to establish a Critical Minerals Sovereign Fund, enabling federal strategic investments and offtake agreements with projects. This renewed domestic and international focus plays to Canada’s strengths: world-class labour and environmental standards, strong Indigenous partnerships, and a reputation as a trusted trading partner.
But the opportunity goes far beyond simply extracting and exporting minerals. Canada can capture far more value and advance economic reconciliation by building out the industries that transform those minerals into the batteries, components and technologies the world urgently needs.
Developing a fully integrated supply chain — from mining to battery production to transportation manufacturing — lets Canada leverage its resource advantage to strengthen national security, deepen trade ties and support domestic manufacturing.
We can do this by pairing past investments in critical minerals and advanced battery manufacturing with new major project and national security measures. Together, these actions can create a seamless supply chain that connects resource workers to the clean-tech and transportation sectors powering Canada’s new economy.
Here’s what we can do right now to make sure Canada doesn’t miss the moment:
- Establish a national alliance to lead and accelerate growth. Create a public-private industrial and defence battery alliance, similar to models in Japan, South Korea and Europe, to drive coordination, investment and implementation of Canada’s Battery Innovation Roadmap.
- Support new mineral exploration. Expand the Critical Mineral Exploration Tax Credit (as proposed in Budget 2025) to include a dozen more minerals that are needed for defence, semiconductors and clean technologies.
- Update EV standards. Send a clear signal that will attract new investment in Canadian EV manufacturing, parts production and supply-chain development.