Wednesday, June 19, 2024
NewsCanada Not Commiting to Increase China EV Tariffs. Yet

Canada Not Commiting to Increase China EV Tariffs. Yet

Canada may need to boost tariffs

  • Feds are watching U.S. rules and charges

  • U.S. added 100 percent tariff to China-made EVs

The Federal Government is monitoring U.S. tariffs on vehicles made in China, but Canada isn’t ready to commit to adding those fees north of the border.

Earlier this month, U.S. President Joe Biden moved to quadruple the country’s import tariffs on Chinese EVs, bringing them to 100 percent of the value of the vehicle. The reason cited is unfair subsidies from the Chinese government that make the value of the vehicles artificially low and lead to unfair competition. Other Chinese products, including solar cells and lithium-ion batteries, are also being slapped with new fees.

“We’re watching very closely what the Americans are doing,” Prime Minister Justin Trudeau said last week.

Canadian Vehicle Manufacturers’ Association President Brian Kingston told The Canadian Press that the group isn’t advocating for the same tariffs in this country yet, but sasy that Canada needs to keep in-line with the U.S. “That potentially is on the horizon,” he said, about the group advocating for a match, adding that “We always have to align our policy.”

Imports of electric vehicles to Canada increased dramatically in 2023. In 2022, CP reports, $84 million in vehicles came into the country. In 2023, that number climbed to $2.2B as Tesla began sourcing vehicles for our market from its plant in China instead of the U.S. The current Canadian tariff on these vehicles is six percent.

Low-cost EVs from China have been capturing market share in the UK. Some are able to undercut Europe-made EV prices by as much as 50 percent.


Trending Now


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.