Canada Cuts EV Tariffs on China in Strategic Trade Shift
Prime Minister Mark Carney announced a major reduction in electric vehicle tariffs during his Beijing visit—the first by a Canadian leader since 2017. The new 6.1% rate applies to 49,000 Chinese EVs, sharply lower than the 100% tax imposed under former PM Justin Trudeau.
Carney framed the MOVE as a recalibration: "This returns to pre-tension levels while creating pathways for Canadian EV innovation." The decision reverses Trudeau’s 2024 policy that mirrored U.S. restrictions, which had slashed Chinese EV imports from 41,678 units in 2023.
The PM emphasized collaboration over confrontation: "Building Canada’s EV sector requires accessing global supply chains and stimulating domestic demand." The policy signals Canada’s intent to leverage Chinese clean energy technology despite lingering trade frictions.
