Canada drops to 13th spot in global EV readiness index

Canada held the eighth spot last year

An ‘EV Readiness Index’ that gauges the “readiness” of different nations in regards to electric vehicles (EV) puts Canada in the second-last spot. The index assesses nations based on their supply, demand and policies for EVs.

Canada fell five spots in the EY’s EV Readiness Index since it was last reported last year, despite several rebate programs that aim to make the process of owning an EV easier than ever before in the nation.

Out of 14 countries ranked, Canada was placed at the 13th spot, in contrast to the number eight spot achieved last year. China took the number one spot.

This comes soon after the federal government signed memoranda of understanding (MOUs) with automakers Volkswagen and Mercedes-Benz to secure Canada’s position in manufacturing EVs and their batteries. The agreement with Volkswagen focuses on sustainable battery manufacturing and setting up a PowerCo office in Canada, whereas the Mercedes-Benz partnership emphasizes collaboration between Canadian EV companies and supporting a sustainable mineral supply chain, among other endeavours.

“By partnering with Volkswagen and Mercedes, Canada is strengthening its leadership role as a world-class automotive innovation ecosystem for clean transportation solutions,” Minister of Innovation, Science and Industry François-Philippe Champagne said about the MOUs. “Canada is committed to building a strong and reliable automotive and battery supply chain here in North America to help the world meet global climate goals.”

Despite the constant efforts, it seems that other nations are striving to win the EV race, as well, though that’s not a bad thing as competition is good for innovation. And with rumours surrounding Tesla’s next gigafactory being situated in Canada, it wouldn’t take long for us to climb back up a few spots on the index.

Further, a recent CarGuru survey indicated that interest in EVs is growing steadily in the nation, and that the younger generation is more interested in owning EVs, with more than two-thirds of survey participants who are car owners aged 18 to 29 expecting to acquire an EV within the next decade.

Image credit: Shutterstock

Source: EY