Mercedes-Benz AG has announced the signing of a Memorandum of Understanding (MoU) with the Government of Canada to explore deeper cooperation across all stages of the automotive value chain, from technical development and the extraction of raw materials to production service life and recycling.
According to a press release from Mercedes-Benz AG, the purpose of the MoU is to promote cooperation and explore ways to advance opportunities across Canada’s electric vehicle supply chain, including securing sustainable sources of raw materials, among others.
Olaf Scholz, Federal Chancellor of the Federal Republic of Germany, said, “This is an excellent proof that the cooperation with our close friends and allies in Canada is further deepening also in the context of raw material security and may encourage other companies to follow.”
He added that Canada is quickly becoming the green supplier of choice for major auto companies, including leading European manufacturers, as we transition to a cleaner, greener future.
Mercedes-Benz is preparing to go all-electric by the end of the decade, wherever market conditions allow. With mass electrification of the automotive sector, demand will increase for specific and responsibly sourced raw materials, particularly cobalt and lithium, as well as nickel, graphite, manganese and copper, Mercedes-Benz noted.
It added that Mercedes-Benz is exploring a strategic partnership with Rock Tech Lithium allowing the carmaker star to supply its vendors with lithium hydroxide to meet global demand for battery electric vehicles.
From 2026 onwards, as part of this envisaged partnership, Rock Tech intends to supply Mercedes-Benz and its battery partners with up to 10,000 tonne of lithium hydroxide annually, starting with a qualification period, the release said.
Interestingly, with the envisaged strategic partnership with Rock Tech, Mercedes-Benz is expected to advance the localisation of European production of state-of-the-art battery cells.
Gunnar Guethenke, Vice President - Procurement and Supplier Quality of Mercedes-Benz AG, said, “As sustainability is a central pillar of our Mercedes-Benz purchasing strategy, we appreciate that Rock Tech plans to supply Mercedes-Benz with lithium from mining sites audited to the standard of IRMA and processed with renewable energy sources.”