News

Each year, the Prospectors and Developers Association of Canada (PDAC) Convention serves, to some extent, as a “weather vane” for the global mining cycle. At this year’s event in Toronto, one signal became increasingly clear: Canada is seriously contemplating a strategic transformation—moving from a “resource exporter” to an “industrial mining superpower.” This is not merely a policy slogan; it is a repositioning born from a multi-party consensus among mining companies, the government, and capital markets. Against the backdrop of a resurgent global resource cycle and the restructuring of critical mineral supply chains, Canada seems to have realized that if it continues to simply “dig it up and ship it out,” the country will once again miss a generational era.

1. A Forgotten Fact: Canada Was Once an Industrial Mining Power

When people mention Canadian mining today, they often think of it as a financing hub. Indeed, the Toronto Stock Exchange (TSX) and TSX Venture remain the world’s largest mining capital markets, currently featuring:

1,095 listed mining and exploration companies.
A total market capitalization of approximately C$600 billion.

However, many mining veterans know that Canada was once more than just a financial center; it was the heart of the mining industrial system. In the 1980s and 90s, Canada boasted a stable of world-class mining giants, such as Inco (nickel giant), Falconbridge, and Rio Algom. These companies did not just develop mines globally; they built smelters, refineries, and processing supply chains within Canada. In other words, Canada used to do the industry, not just the extraction.

But over the past two decades, massive mergers and acquisitions changed this landscape. Inco was acquired by Vale, and Falconbridge was taken over by Glencore (then under the Xstrata banner). Consequently, mining headquarters and supply chain decision-making centers gradually drifted away from Canada.

2. “Ripping and Shipping”: Canada’s Resource Dilemma

At a forum during this year’s PDAC, Mark Selby, CEO of Canada Nickel Company, used a very blunt term: “Ripping and shipping.” Selby remarked, “One of the biggest mistakes this country made 25 years ago was allowing those large mining companies headquartered here to be hollowed out.” He pointed out that those companies didn’t just build mines; they built extensive base metal industries. Today, Canada’s role in many mineral categories has shifted toward being a resource supplier rather than the core of an industrial system.

In the global mining value chain, profits are typically distributed as:

Upstream: Mining
Midstream: Smelting and Processing
Downstream: Manufacturing

Over the past twenty years, Canada gradually surrendered the midstream and downstream value chains to others.

3. The Critical Minerals Era: Canada Finds the Opportunity Has Returned

Today, the situation is changing. The global energy transition, AI infrastructure, and the EV industry have caused the demand for critical minerals to skyrocket. According to International Energy Agency (IEA) data, by 2035, the energy transition will drive significant growth in demand:

Copper: Up 40–60%
Nickel: Up 65%
Lithium: Up over 300%

Simultaneously, Western nations are restructuring their supply chains. The reason is simple: the over-concentration of processing capacity. For example, over 70% of global lithium refining, 80%+ of rare earth processing, and 60%+ of nickel refining are concentrated in China. This has prompted North America and Europe to reflect: the resources are in their own countries, but the supply chains are not.

4. Policy Signals: The Canadian Government Re-bets on Mining

Against this backdrop, Canadian government policy is undergoing a visible shift. Following Prime Minister Mark Carney’s move into office, the federal government established a new Major Projects Office. The goal is clear: to accelerate the permitting of critical mineral projects.

Meanwhile, the government-backed Canada Growth Fund has begun direct investment in mining projects, such as:

Nouveau Monde Graphite (Quebec graphite project)
Foran Mining (Saskatchewan copper project)

This level of intervention is rare in Canadian history. In a sense, it mirrors the Industrial Policy approach seen in the United States.

5. The Return of the Supply Chain: From Mine to Processing

At PDAC, Patrice Boulanger, VP of Marketing for Nouveau Monde Graphite, mentioned an often-overlooked advantage: Canada already possesses industrial infrastructure. “We have deep-water ports, rail systems, and highway networks; these are the foundations for development over the next decade,” he said.

In fact, Canada has a very mature resource logistics system: