Canada’s Prime Minister Mark Carney announced plans for infrastructure projects, including port expansions in Churchill, Man., and Montreal, within two weeks. The proposals are aimed at diversifying Canada’s economy, which has long relied on exports to the US due to trade tensions.
The Port of Churchill is set to receive significant upgrades, with construction expected to begin as early as September. The project meets the criteria for Bill C-5, a law that accelerates approvals for specific infrastructure projects. The expansion aims to unlock opportunities in liquefied natural gas (LNG) and other critical minerals, which Canada plans to export.
Canada and Germany have agreed to co-operate on critical minerals, including co-funding new projects. The deal includes electric vehicle manufacturing, defence, and aerospace industries, as well as project financing, technological development, and supply chain integration. The agreement is not legally binding and does not create a financial commitment.
Germany’s interest in Canadian natural resources lies in its need to diversify away from Russia and China. Canada’s expertise in developing mine-to-magnets supply chains could provide Germany with an advantage over its competitors.
Canada’s economy has long depended on US exports, but the trade tensions sparked by Donald Trump’s high-tariff policies have made it imperative for Ottawa to diversify. The country’s natural resources minister, Tim Hodgson, believes that one of Canada’s greatest opportunities lies in natural gas, particularly amid geopolitical tensions with Ukraine.
The critical minerals deal with Germany could give Canada a competitive edge in the market, allowing it to climb the value chain and turn its natural endowments into industrial development and economic growth.
Source: https://www.theglobeandmail.com/politics/article-ottawa-to-back-new-port-infrastructure-signs-critical-minerals