UK and Canada strike critical mineral deal

The landmark deal is set to secure the supply of critical minerals, including cobalt and lithium, as demand for certain minerals is expected to rise 500 per cent by 2040.

The deal will encourage cooperation between Canada and the UK over the supply of minerals that are critical to the economy and frequently used in an abundance of green tech products, such as solar panels and EV batteries. EV batteries and battery storage systems key to the renewable energy transition are heavily reliant on lithium, and solar panels use cobalt in their manufacturing process which have previously been tied to human rights abuses in the Democratic Republic of Congo.

The partnership, which launched on March 6th, is designed to help both Canadian and British manufacturers of green technologies withstand global supply shocks by encouraging research, innovation and growth. By securing the supply of critical minerals with such widespread use, the UK government hopes to support the net zero transition, support jobs across the green sector, and encourage cross-border cooperation in aid of sustainable growth.

Canada is the UK’s 13th largest export partner, accounting for £14.1bn worth of UK exports in 2022, and progressive trade deals between the two nations will support the progression of green technologies and export opportunities.

"Every single one of us depend on critical minerals to make the technology we use in our everyday lives," said Nusrat Ghani MP, Business and Trade Minister for the UK. "With a dash for minerals to meet national business needs, it is essential we work to build more resilient supply chains for critical minerals. Through this dialogue, we will work with one of our closest global allies in Canada to build and strengthen our supply chains and boost innovation, securing jobs and growing the UK economy in the process."

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