A 2020 analysis by Electric Mobility Canada suggests that a Canadian transportation electrification strategy modelled on those in British Columbia, Quebec or California could generate up to $200 billion in revenue between 2021 and 2030, and create tens of thousands of new jobs.
Also, in collaboration with other Canadian industry stakeholders, in May, Electric Mobility Canada will formally announce the launch of a Canadian electric vehicle supply chain initiative to help accelerate Canada's industrial transition in transportation electrification.
In addition, we will soon be releasing a report on the state of play in transportation electrification in Canada, which would include natural resource aspects.
EMC, therefore, recommends that our government adjust its views and emphasis on certain critical minerals, metals and materials, specifically to recognize the importance of securing and maintaining a Canadian and North American energy independence; to shift our focus from fossil fuel-based energy to securing a robust supply of all key metals, minerals and materials needed for our emerging North American battery supply chain; and to develop the industrial policy needed to unlock the critical North American production needed to mine the metals and minerals and to build the batteries, charging stations and electric vehicles needed to transition our economy to a zero-emissions transportation system.
According to the “Electric Vehicle Outlook 2020” from Bloomberg New Energy Finance, EV growth, from passenger cars to light trucks to heavy-duty trucks to electric buses, will be exponential in the years to come. Passenger EV sales jumped from 450,000 in 2015 to 2.1 million in 2019. They are expected to reach 8.5 million in 2025 and 26 million by 2030. New EV sales should grow from 2.7% in 2020 to 28% in 2030, and 58% in 2040.
According to a newly released report by TD Economics, it is estimated that by 2050, up to 450,000 of Canada’s current 600,000 direct and indirect jobs in oil and gas could become casualties of falling demand for fossil fuels as more countries and companies commit to net-zero greenhouse gas emissions.
According to another report called “The Fast Lane: Tracking the Energy Revolution 2019” from Clean Energy Canada, there will be approximately 560,000 clean jobs by 2030, almost 50% clean jobs in transportation. Demand for clean energy and clean transportation jobs will keep growing at a very fast rate. This means that there will be a job transition over the next decades, just like we saw at the beginning of 20th century when transportation went from horse and buggy to automobiles. These new jobs will be in mining, assembly, research and development, design, sales, maintenance, electricity and construction. These high-quality, high-paying jobs will be across the country, from B.C. to Atlantic Canada.
As we can see in the graph that we have in the document we sent you, China is comfortably ahead of other countries in controlling the supply chain of strategic minerals needed for electric vehicles, electronics, gas vehicles, military equipment, etc.
According to Bloomberg New Energy Finance, China presently controls 80% of the refining of these materials and 77% of the world's battery-cell manufacturing capacity. When we add South Korea and Japan, we can see that 96% of the battery production capacity is controlled by Asian companies.
Just like we saw in the 20th century with the world’s dependence on oil coming from the Middle East, the geopolitical implications of the world’s dependence on rare earths and battery capacity from China are at the heart of the discussion for the future of electric mobility from an economic, environmental and geopolitical point of view. That’s why Electric Mobility Canada fully supports the Canadian and U.S. governments' agreement on the importance of the development of a zero-emission vehicle future and a Canada-U.S. battery strategy.
Thank you.