EV investments paving the way for Canada and Japan’s ‘new chapter’: ambassador

Today, we live in turbulent times. Compared to just 10 years ago, the world has changed dramatically with crises such as the COVID-19 pandemic, Russia's invasion of Ukraine, and the rapid deterioration of the Middle East situation since Oct. 7, 2023. In addition to these complicated geopolitical realities, the world is becoming more complex and fluid due to the serious consequences of global warming, risks of generative artificial intelligence, and so on. The year 2024 is an extremely important one for the international community. There are a number of important elections taking place in countries and regions around the world, and it is no exaggeration to say that the United States’ presidential election in November will have the greatest impact on future global trends. Under these realities, it is important to see Canada and Japan share so many things together like freedom, democracy, human rights, the rule of law, a market economy, and membership in major international frameworks such as the G7, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, and Asia-Pacific Economic Cooperation. Our bilateral relationship has recently been enhanced in various ways. We see closer co-operation in the areas of national security, environment, energy, cultural and people exchanges, as well as business and investment. Kanji Yamanouchi is Japan's ambassador to Canada. Photograph courtesy of the Japanese Embassy On May 14, Asahi Kasei—one of Japan's leading comprehensive chemical manufacturers—held a press conference to announce a $1.6-billion investment in Ontario. This new funding is to build the world’s first-ever integrated factory for wet-separator production, which is an indispensable part of the lithium-ion battery. This will respond to the increasing demand in North American supply chains for zero-emission vehicles, including for Honda. It was only three weeks ago that Honda announced that it has entered the final stages of considering a major investment totalling $15-billion to build a full value chain for zero-emission vehicles in Canada. I had the honour of attending the press conference held on April 25 along with Honda president and CEO Toshihiro Mibe, Prime Minister Justin Trudeau, Deputy Prime Minister Chrystia Freeland, Innovation Minister François-Philippe Champagne, and Ontario Premier Doug Ford. This amount is the largest investment not only in Honda's history, but also in Canadian history, let alone in the automotive sector, and for any single company. This is a groundbreaking project that builds a comprehensive electric-vehicle value chain from the mountain to battery to mobility in one country. I believe that Honda and Asahi Kasei’s new projects will be a game-changer, and that is only possible in Canada because of its major advantages, such as having abundant resources including critical minerals, and being within a highly transparent, competitive, and stable market integrated with the United States under the Canada-United States-Mexico Agreement. They will greatly strengthen the supply chain, and reduce greenhouse gas emissions, and then contribute to the 2050 net-zero commitment. This is proof that Canada and Japan are taking a new direction in EV production around the world. On top of that, they will also bring significant benefits to Canada itself, including the creation of a large number of jobs. Canada’s Indo-Pacific Strategy, and its steady implementation are excellent news for Japan and the Indo-Pacific region. Our two countries are partnering in the implementation of our joint action plan for contributing to a free and open Indo-Pacific region. Strengthening co-operation between governments is sure to spread and permeate the private sector as well. Canada-Japan relations have steadily entered a new chapter. Living in an increasingly unstable world, now is the time for Canada and Japan to come together as one to confront the world's challenges. Strengthening our bilateral relations is imperative, and in a sense, it is inevitable. It is my mission to work together to lead the way with my Canadian friends. Kanji Yamanouchi is the ambassador of Japan to Canada. The Hill Times