As committed to in Budget 2025, the Department of Finance Canada today launched consultations on the possibility of introducing a domestic content requirement under the Clean Technology and Clean Electricity investment tax credits (ITCs). These ITCs are designed to help Canada transition to a net-zero economy by supporting new investments in clean or low-emitting energy systems-attracting new projects and high-paying careers to this country.
Other countries, including the U.S., have incorporated domestic content requirements in their clean electricity tax credits to encourage the use of domestic materials and equipment. In Canada, stakeholders have called for similar measures to strengthen domestic supply chains and support Canadian manufacturers.
