National security questions helped inform critical minerals strategy: minister – National | 24CA News
National safety questions on nations like China and Russia helped “inform” Canada’s new important minerals technique, Natural Resources Minister Jonathan Wilkinson says.
His feedback come after the federal authorities unveiled the technique on Friday, which focuses on driving exploration and constructing sustainable infrastructure.
As a part of the brand new method to important minerals, Canada is hoping to cut back its reliance on worldwide companions that don’t share widespread values, Wilkinson mentioned — notably after the world watched Russia withhold pure gasoline provides from European nations amid the struggle in Ukraine, prompting large shortages within the area.
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During an interview for The West Block, aired Sunday, host Mercedes Stephenson requested the pure assets minister how a lot of the important minerals technique was knowledgeable by Russia’s struggle in Ukraine — and Canada’s more and more chilly relationship with Beijing.
“I think the world learned a lot in the aftermath of the illegal Russian invasion of Ukraine, where Germany found itself very much dependent on Russia for oil and gas,” Wilkinson responded.
“I don’t think anybody wants to be in that position on a go-forward basis with critical minerals.”
Between 80 and 90 per cent of uncommon earth parts are processed in China, Wilkinson added.
“That’s, just from a national security perspective, not somewhere where we want to go, our American friends want to go, our European friends want to go,” he mentioned.
“And so it did help to inform some of the strategy for sure.”
The new technique is backed by practically $4 billion within the 2022 federal price range. Among the measures included are a brand new 30 per cent tax credit score to “support exploration” for important minerals reminiscent of nickel, lithium, cobalt, graphite, copper, uncommon earth parts, vanadium and uranium.
The plan additionally features a deal with dashing up challenge approvals, in addition to environmental safety.
“We do have significant reserves of a number of these (minerals), but there is enormous untapped potential,” Wilkinson mentioned.
The new technique comes amid a world rush to safe important minerals, a lot of that are important for electronics reminiscent of semiconductors, batteries and electrical car motors. The technique additionally coincides with rising tensions between Canada and China, which has beforehand bought or invested in Canadian mines and different pure assets.
China is the dominant participant in important minerals refining and processing, in addition to the manufacturing provide chain of battery cell parts.
But China doesn’t produce quite a lot of the minerals and has as a substitute invested closely in abroad mines in locations reminiscent of Canada to amass the uncooked supplies it wants.
Canada and its allies are desperately making an attempt to upend China’s dominance within the discipline and create a provide chain that depends on what it calls extra steady and dependable companions.
“Canada has an opportunity here,” Wilkinson mentioned, pointing to the roles, cash and manufacturing potentialities within the important minerals sector.
“Canada has huge comparative advantages in this area, and we can capitalize on that if we are smart, thoughtful and strategic.”
— With information from Global News’ Saba Aziz
© 2022 Global News, a division of Corus Entertainment Inc.
