South Korea isn’t the only country looking to expand automotive manufacturing to Canada. Germany is also looking to expand into Canada, with the country’s economic minister calling Canada’s new auto sector strategy “very attractive.”
The details come from a Globe and Mail interview with Germany’s Minister of Economic Affairs and Energy, Katherina Reiche, after she visited Ottawa on Feb. 9 to speak to members of Prime Minister Mark Carney’s cabinet. That included Industry Minister Mélanie Joly, Energy and Natural Resources Minister Tim Hodgson, and Dominic LeBlanc, the minister overseeing multiple facets of Canada’s trade strategy.
Speaking to the Globe, Reiche said that Germany’s “car industry is willing to invest here” and is “in talks to extend our footprint” into Canada.
However, Reiche also cautioned that the decision will ultimately be up to the automotive companies.
Reiche’s meeting with the ministers also didn’t focus on the auto sector — instead, they discussed a separate submarine deal and other major Canadian infrastructure projects. Reiche told the Globe that the auto industry’s interest is independent of the submarine deal.
The submarine deal in question is a joint bid between Germany and Norway to supply Canada with up to 12 submarines. The Globe reports that Canada asked South Korea and Germany, which both have companies bidding on the submarine contract, to include auto industry production pledges in their respective pitches.
South Korea has already signed a non-binding memorandum of understanding (MOU) to bring auto manufacturing and investment to Canada.
Canada has already seen some investment from German automakers, which predates the submarine bid. Volkswagen subsidiary PowerCo committed to building an EV battery factory in St. Thomas, Ont. — construction started on the plant last year. Reiche pointed to this as an example of how Canada is a “reliable partner.”
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Source: The Globe and Mail
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