How would a potential tariff and trade war affect Quebec’s place in the electric vehicle battery production industry?
According to McGill University engineering professor Jinhyuk Lee, Quebec has an “excellent opportunity” to dominate the upstream (i.e. mining) development of certain batteries as well as the manufacturing of the products.
However, Lee believes that the province needs to focus on the high-end nickel-manganese-cobalt (Ni-Mn-Co) batteries, as opposed to the more common and lower-priced lithium-ion-phosphate (Li-Fe-PO4) batteries, which China is a major player in developing.
“Tariffs inherently reduce the cost competitiveness of Canadian products across the battery value chain (battery minerals, battery active materials, battery cells, battery packs),” said Lee. “However, high-value segments require more expensive materials, an area where Canada and Quebec hold strong advantages due to abundant domestic resources.”
Lee explained that Ni-Mn-Co batteries have a higher energy output, and thus, vehicles have a longer range. In addition, the nickel …