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VOLKSWAGEN (VW) has sealed an agreement with Canada to secure access to raw materials such as nickel, cobalt and lithium for vehicle and battery production, according to people familiar with the accord.
The Biden administration’s Inflation Reduction Act allows consumers to continue getting as much as US$7,500 in tax credits for electric vehicles if manufacturers meet new content requirements. Minerals must be extracted from or processed in countries the US has a free trade agreement with, and a large percentage of battery components need to be manufactured or assembled in North America.