Canada Drops Out of Top 10 in Energy Transition Investment Rankings as Saudi Arabia Climbs
Event summary
- Canada fell out of the global top 10 in energy transition investment rankings, dropping from 8th place in 2025 to 11th in 2026.
- Total investment in Canada decreased by 8.8% to $33.4 billion USD, primarily due to a 35% drop in EV spending.
- Saudi Arabia surpassed Canada with $34 billion USD in energy transition investments in 2025.
- Renewable energy investments in Canada grew by 76% year-over-year, with significant growth in energy storage.
- Policy uncertainty and the end of EV rebates contributed to the decline in Canada's EV sector investments.
The big picture
Canada's drop in rankings highlights the intensifying global competition for energy transition investments. While renewable energy and storage sectors show strong growth, the decline in EV investments underscores the need for a cohesive policy framework to maintain competitiveness. The strategic interplay between clean electricity, electrified transportation, and critical minerals will be crucial for Canada's economic future.
What we're watching
- Policy Alignment
- Whether Canada can align its electricity, auto, and climate competitiveness strategies to attract more investment.
- EV Sector Recovery
- How the federal EV Availability Standard review will impact investment in Canada's EV sector.
- Global Competition
- The pace at which Saudi Arabia and other countries will continue to surge ahead in energy transition investments.
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