That was my thought, so should it be sealed? Looks like it was designed to vent.

My questions are , is this my problem and what is that part called. I can’t to seem to find it on any online catalog.

I have a 2007 XC-70 with a cel on for a slight evap leak. When l smoke test it, smoke comes out of a small canister that is located by the filler tube where it comes through the quarter panel. Smoke only appears when smoke machine is at its highest pressure .