If you read this article and listen to the words the ceo of PLL...

If you read this article and listen to the words the ceo of PLL is saying you may understand.

SUPPLY CHAINJapan, Canada to develop North American EV battery supply chainsAgreement would help Japanese autos qualify for U.S. subsidiesCanada is looking to help Japanese companies process critical minerals mined in Canada and build factories for storage batteries, developing its industry and creating jobs.Nikkei staff writersSeptember 14, 2023 20:37 JSTUpdated on September 14, 2023 23:08 JSTTOKYO -- Japanese public and private entities will develop supply chains in Canada for electric vehicles that encompass extracting and processing key minerals as well as battery production as the Canadian government provides subsidies and other support to increase supply capacity.Tokyo sees the initiative as both strengthening its economic security and increasing North American sales of Japanese EVs.Japan's trade minister, Yasutoshi Nishimura, will visit Canada on Sept. 21 and sign a memorandum of understanding with the country's minister of energy and natural resources, Jonathan Wilkinson, that covers battery supply chains.The first expected area of cooperation involves the extraction of nickel and lithium in Canada by the state-owned Japan Organization for Metals and Energy Security and others. Though Canada boasts large reserves of these minerals, it faces technical and human resource challenges in increasing production capacity.According to the U.S. Geological Survey, Canada has one of the world's largest lithium reserves -- about half of that in China -- but its production volume remains around 2% of China's. Cooperation with Japan is aimed at increasing production.Japanese battery and materials producers hope to process minerals mined in Canada and build factories for batteries that use those minerals.Nishimura will be accompanied by representatives from battery makers such as Panasonic and Toyota Motor affiliate Prime Planet Energy & Solutions as well as trading companies.ADVERTISINGCanada looks to help Japanese companies expand on its soil through subsidies and other means to develop its industry and create jobs.Battery production in Canada will support sales of Japanese electric vehicles in the U.S., where the Inflation Reduction Act provides tax credits of up to $7,500 for an EV purchase but Japanese cars are not currently covered by the benefit.To qualify for the subsidy, 40% of the key minerals used in EV batteries must be procured from the U.S. or from countries that have a trade agreement with Washington. In addition, 50% of the battery components must be manufactured and assembled in North America. Sourcing and processing in Canada will help Japanese EV makers meet those requirements.The agreement also is expected to make Japan's supply network more secure. Japan currently imports lithium from China and Chile, and dependence on just a handful of countries heightens the risk of supply disruptions. Battery production is directly related to energy competitiveness and climate change policy.Nishimura also will sign a memorandum of understanding on industrial technologies such as artificial intelligence, clean energy and quantum computing with Francois-Philippe Champagne, Canada's minister of innovation, science and industry.The research and development of quantum computers will include cooperation between Japan's National Institute of Advanced Industrial Science and Technology and the National Research Organization of Canada. Japan has strengths in the materials field, including the cooling technology that is critical for the devices.