Canada might soon impose tariffs on Chinese EVs very soon

According to a report from people familiar with the matter, the Canadian government is about to make impose tariffs on Chinese-made EVs. The regulatory institutions in the country announced last month that Canada is looking to follow the US and Europe's increased taxes on vehicle imports from China.

The word on the street is Canada will enact increased taxes since Chinese EV imports soared from CAD $100 million in 2022 to CAD $2.2 billion this year. Moreover, passenger vehicles arriving at the Vancouver port from China quintupled, partly due to Tesla shipping its Model Y from the Shanghai Gigafactory.

But Tesla isn't the only problem. As other countries noted, the Chinese EV industry has the potential to flood the world market due to subsidies from the Chinese government. This would ultimately lead to dependency and crushing local industries.

The EU is currently negotiating terms with China before imposing tariffs as high as 38.1%, while the US already moved forward with its decision imposing taxes of up to 100%. Turkiye did the same earlier this month and introduced 40% import taxes.

China, for its part, firmly believes that this is a blatant attempt at squeezing its economy and will appeal the decision in a court with WTO.

Source