‘Confidential Matters’: Liberal MPs Oppose Release of Subsidized EV Battery Plant Contract Details

One Liberal MP says it’s important to maintain confidentiality in order to continue to attract foreign direct investment.
‘Confidential Matters’: Liberal MPs Oppose Release of Subsidized EV Battery Plant Contract Details
Prime Minister Justin Trudeau makes an announcement at the Stellantis Windsor (Chrysler) Assembly plant in Windsor, Ont., Jan. 17, 2023. (The Canadian Press/Nicole Osborne)
Matthew Horwood
11/28/2023
Updated:
11/28/2023
0:00

Conservative MPs want more information on federal contracts with electric vehicle battery manufacturers, including whether Canadian taxpayers are subsidizing foreign workers, but Liberal MPs on a House of Commons committee have opposed public disclosure of the contracts.

“It is important we maintain the confidentiality of these contracts in enabling us to continue to attract these investments,” said Liberal MP Charles Sousa on Nov. 27. “I am a little shocked actually. We have an opportunity here to continue to enable foreign direct investment. These are confidential matters.”

The Standing Committee on Government Operations and Estimates suspended hearings without voting on a Conservative motion to compel disclosure of the contract terms, according to Blacklock’s Reporter.

The government committed $10 billion in federal subsidies to build a Stellantis battery plant in Windsor, Ontario, in 2022. In July 2023, Stellantis and South Korean company LG Energy Solution announced they had reached a “binding” deal with the federal and Ontario governments regarding the factory. Total incentives for the plant amount to $15 billion.

“It will create and secure thousands of jobs, both in the auto sector and in related industries across Canada, and will further solidify Canada’s place as a leader in the global electric vehicle supply chain,” Finance Minister Chrystia Freeland said in a statement.

Yet, on Nov. 16 of this year, Windsor Police announced that South Korea’s ambassador had visited the city to check preparations for South Koreans to work at the plant.

“With the new LGEngergy Solutions battery plant being built, we expect approximately 1,600 South Koreans traveling to work and live in our community in 2024,” Windsor Police said on social media.

Liberal MP Irek Kusmierczyk, parliamentary secretary for employment, denied to the committee that taxpayers were subsidizing 1,600 Koreans, while also opposing disclosure of the Stellantis contract.

“We’re seeing false information and confusion that is being sown by the Conservative Party,” he said. “This is not the place to play politics with people’s livelihoods and with this investment that is the most important investment in my community.”

‘I’d Like Some Light Shed’

Bloc Québécois MP Julie Vignola also questioned federal claims.

“We were told there is a need for specialized workers from abroad. Yes, other companies do that. That’s fine,” she said. “However, I have never heard of any Canadian company sending 1,600 workers abroad. That has never happened. I’d like some light shed on that. We are talking about billions of dollars.”

Conservative MP Andrew Scheer, Opposition House Leader and former Conservative Party leader, told the government operations committee that concealment of the Stellantis contract did not make sense unless cabinet was “embarrassed” to reveal the terms.

“If the government is so proud of what they’ve done, if they’re so sure this is a good deal for Canadians, they’re certainly not acting like it,” said Mr. Scheer.

New Democrat MP Gord Johns said he agreed cabinet was being evasive on the contents of the contracts.

“There have been many questions this government has refused to answer,” he said.

“From last Monday the government said it was one job,” said Mr. Johns. “Then on Tuesday, 100 jobs. Then on Thursday, it was 900 jobs. The confusion has damaged public trust and sowed division among various unions and communities. This is a failure of leadership.”