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The IRA will allow Canadian workers to capitalize on the growing clean economy through new opportunities, specifically in the automotive industry.
Last week, the Inflation Reduction Act (IRA) was signed into legislation by President Biden of The United States. Said to create over 900,000 jobs in the next 10 years for the clean manufacturing sector alone, it priorities shifting away from polluting energy sources. The IRA features incentives involving clean manufacturing tax credits and clean vehicle manufacturing grants and loans.
With this raises the question, how will Canada, specifically the job market in the transition to a net-zero economy, be affected by the United States’ IRA? In short, the IRA will allow Canadian workers to capitalize on the growing clean economy through new opportunities, specifically in the automotive industry. Through diplomatic negotiations between the two countries, Canada has been recognized as a key partner and has access to the electric vehicle incentives named in the legislation. Meaning, Canadian produced/manufactured materials and products are eligible for the full $7,500 electric vehicle rebate.
In anticipation of this, preparation by automakers has already ensued. Automotive supply chains are being deconstructed and reconstructed. Billions of dollars in investments are being made to aid in the transition to electric vehicle manufacturing. With industry expansion comes opportunity. There will be a creation of new roles to be filled and the automotive labor force will grow substantially. Jobs will be created to support the evolution of the electric vehicle auto industry.
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For more information, please contact [email protected]
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