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Siemens Canada will invest $150 million to research and develop advanced manufacturing technologies for batteries and electric vehicles (EVs) in Ontario as it works to improve efficiency and sustainability.
Over five years, the company will be building-up the centre from its Canadian head office in Oakville and at facilities located in Toronto and Kitchener-Waterloo.
The first focus will be exploring uses for technologies such as artificial intelligence (AI), digital twins, machine vision and cybersecurity.
Research and development is expected to result in higher-quality batteries produced more consistently, improved productivity, reduced battery scrap and defect rates, and improved recycling and circularity, Faisal Kazi, president and CEO of Siemens Canada, told Sustainable Biz Canada in an email interview.
“The centre will not only enhance Canada’s competitiveness in the global battery market but also contribute to the country’s economic growth,” he wrote.
Help manufacturers ‘do more with less’
German company Siemens chose Canada to host the centre because of the country’s “highly educated and diverse workforce”, leadership in AI and technology research, a wide ecosystem of AI startups and labs, and its higher education institutions and established manufacturing industry.
Additionally, Canada offers substantial government support and abundant mineral resources.
The move aligns with federal and provincial governments investing over $50 billion into EV and battery manufacturing, attracting big names such as General Motors, Ford, Honda, Volkswagen’s PowerCo, Umicore and South Korea’s SK.
Siemens Canada will look to address manufacturing inefficiencies using the latest technologies. For example, AI can analyze the production process and identify areas for improvement, reducing waste. A digital twin – a virtual simulation of the real-life process – can model production ahead of time so fewer resources and less time are spent on physical testing.
“Continuous investment in battery R&D will help manufacturers mitigate challenges and supply batteries at a scale the world needs,” Kazi wrote. “New technologies and ways of doing things will improve resource and labour efficiency, helping producers ‘do more with less.’ ”
The centre will bring in industry partners and academia to cooperate on development of technologies to support Canada’s growing battery industry, he explained. Those partners’ facilities will also house the centre.
Up to 90 jobs will be created over the next five years because of the project, Siemens Canada anticipates.
Rapid growth comes with challenges
When asked about some recent setbacks in Canada’s efforts to develop its battery and EV manufacturing marked, including project delays, partner exits and possible cancellations, Kazi wasn't fazed: “Rapid growth in a relatively new industry brings with it certain challenges,” he replied.
Siemens Canada is upbeat about the battery sector, pointing to years of double-digit growth it expects to continue. The company's investment into the sector will help manufacturers overcome the road bumps being experienced and help supply batteries at the scale the world needs, he said.
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