'Everything was hunky dory ... until the Inflation Reduction Act' via financialpost
In this sense, the situation in Windsor offers up a case study in the perils of industrial policy, which has taken on a more central role in economic development as Canada and other countries race to claim a share of the wealth that will be created from the historic shift to a green economy.
It’s a change from March 2022, when Dilkens lined up alongside Industry Minister François-Philippe Champagne and Ford to triumphantly announce the plant, which they described as a revitalization of the country’s auto sector. At the press conference to announce the plant, Ontario Premier Ford said his province and the federal government were contributing “hundreds of millions of dollars” towards the $5-billion facility.
“Rightfully so, the company’s saying, ‘Well, hold on a sec, this isn’t small potatoes that we would be giving up,’” said Dilkens. “They do the mathematics, and they come back and they say, ‘Canada, you have to match this if you want to keep this deal.’”Article content “There’s one point of view that the U.S. is over-subsidizing batteries,” said Bentley Allan, a professor of political science at Johns Hopkins University and research director at the Ottawa-based think tank Transition Accelerator.
“One dollar spent upstream is the same as one dollar spent in the downstream,” said Allan. “So if the subsidy downstream is three times as large, then that just tells you to subsidize the upstream.”Instead, somewhat inexplicably, Champagne and Ford doubled down on attracting battery cell manufacturing to Canada.
Prime Minister Justin Trudeau arrives last month at the Elgin County Railway Museum in St. Thomas to make an announcement about Volkswagen’s new electric vehicle battery plant in the southwestern Ontario town.“Just like in the U.S., Canada’s support will only be for what is produced and sold and will phase out by 25 percentage points every year beginning in 2030 ,” the press release said.
Dilkens also avoided the subject. “That’s above my pay band,” said Dilkens. “I would expect the federal government who has to negotiate this is going to do the math.” “Politically, I almost felt bad a bit because once I had some clarity on the number — I knew it was about $10 billion — I thought the prime minister is going to get zero political gain,” said Dilkens. “Whereas if he could take $10 billion, and start in Vancouver, British Columbia and fly to every province and give every province a billion dollars for their favourite project, there’d be far more political capital to be had in that type of approach.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Sonoma County sees 22 percent reduction in homelessness from last yearSonoma County is touting its annual 2023 Point-In-Time count of people experiencing homelessness, citing a 22 percent decline in overall homelessness and a 24 percent decline in people who had been designated 'chronically' homeless from the previous year, the county said Wednesday.
Read more »
Artificial spherical chromatophore nanomicelles for selective CO2 reduction in water - Nature CatalysisDesign of artificial photosynthetic systems that mimic the complex supramolecular structures in natural systems remains a grand challenge. Here self-assembled nanomicelles containing Zn porphyrins and Co porphyrins as photosensitizer and catalyst achieve selective photocatalytic CO2-to-CH4 conversion in water.
Read more »
Everything I Know I Learned At My Grandmother’s Nursing Home'Once, I even decided to ask my middle school crush to come with me to the facility’s annual big summer event.'
Read more »
Indy 500 | Everything you need to know if you're attending the 107th runningMore than 300,000 people are expected to be at IMS on Sunday’s for the 107th running of the Indianapolis 500.
Read more »
Everything leaving Netflix in June 2023 | Digital TrendsFarewell, Jerry Maguire! Find out what is leaving Netflix in June 2023.
Read more »
U.S. Consumer Spending Jumped in April and Inflation AcceleratedConsumers increased their spending sharply in April and inflation accelerated, fresh data showed, as the Federal Reserve debates whether to raise interest rates in June
Read more »