Tesla lobbying Ontario govt for advanced manufacturing in Canada

Tesla lobbying Ontario govt for advanced manufacturing in Canada

Tesla Inc is lobbying the Ontario government as part of a plan to establish an advanced manufacturing facility in Canada, according to a filing by the electric-vehicle maker to the Office of the Integrity Commissioner.

The Canadian unit is working with the government to identify opportunities for industrial facility permitting reforms, the amended filing from July 18 said.

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

In May, Canadian Industry Minister Francois-Philippe Champagne said there were very active discussions with a number of players to develop an EV supply chain in Canada.

Tesla has been ramping up production with Chief Executive Elon Musk speaking half in jest to shareholders yelling Canada -- We've got a lot of Canada, I'm half Canadian, maybe I should. He said the company could have 10 -- 12 gigafactories and that it might be able to announce a new factory later this year. Tesla produces vehicles from two factories in the United States and one in China and Germany.

U.S. electric-vehicle makers are looking to source materials and build cars closer home to diversify supply chains and lower their dependence on China, the world's largest supplier of EV batteries.

Such efforts could gain a boost due to a $430 billion bill approved by the U.S. Senate on Sunday that prevents Chinese-made materials from being used by phasing in required percentages of North American-sourced battery components.

After 2023, vehicles with batteries that have Chinese parts could not receive credit, while critical minerals have limitations on sourcing.