Following the U.S. imposing tariffs on electric vehicles, Canada might be looking at doing something similar.
In an interview with CBC, Minister of Innovation, Science and Industry of Canada François-Philippe Champagne said that the Canadian government isn’t ruling out imposing tariffs on Chinese EVs. Following that, industry leaders from various automotive manufacturing arms in Canada have also expressed a desire for Canada to follow through on this. This may lead to pressure on the cabinet to impose similar tariffs as the U.S.
Other parts of the world, like Europe, have seen their auto markets change lately as low-cost EVs made in China hit the market. China has stronger programs and incentives, along with potentially cheaper labour, which has allowed it to expand quickly into the EV space. Since most other automakers are focusing on high-end EVs instead, the market is jumping on the opportunity to go electric for a reasonable price.
In a bid to protect its giant auto industry of 39 million workers, the U.S. has imposed stronger tariffs on Chinese EVs to keep prices in line with American-made competition. While Canada’s auto industry is much smaller at 500,000 workers, there is still a precedent from the U.S. that we impose something similar.
Source: CBC, Global News
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