Tesla, federal government sat down to talk Canadian investment

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François-Philippe Champagne, minister of innovation, science and industry, met with Tesla officials Aug. 17 in what his office called early-stage discussions. The department would not disclose what type of operation the U.S.-based company may be considering for Canada or with whom Champagne met.

The Canadian government held talks with Tesla last week at the company’s Markham, Ont. facility, pitching Canada as an investment destination that would help the electric vehicle maker green its supply chain.

The Ontario ministry of economic development, job creation and trade would not say if it has held talks with Tesla. The company has other ties to Canada. Tesla collaborates with Dalhousie University-based lithium-ion battery researcher Jeff Dahn, funding much of the research carried out by Dahn’s group in Halifax. It sources parts from Canadian suppliers such as Martinrea International Inc., and recently disclosed a supply deal with mining firm Vale, which is providing Canadian-mined nickel for use in its vehicle’s batteries.

Tesla’s primary considerations in siting a new plant will likely be volume and affordability, Fiorani added, and recent changes to how Canadian governments handle incentives could attract the automaker’s attention.

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