Toronto, Ontario — Canadian Prime Minister Justin Trudeau has announced that Canada is imposing a 100 percent surtax on Chinese-made EVs, including hybrid vehicles, trucks and buses.
The 100 percent surtax, applied to all Chinese-made EVs, will take effect Oct. 1, 2024. A 25 percent surtax on imports of steel and aluminum products from China will also take effect Oct. 15, 2024.
The Prime Minister also accused China of violating international trade rules and attempting to have an “unfair edge” in the emerging EV market globally. He said these tariffs will “level the playing field for Canadian workers” and allow for a competitive Canadian and North American EV industry.
“Actors like China have chosen to give themselves an unfair advantage in the global marketplace, compromising the security of our critical industries and displacing dedicated Canadian auto and metal workers. So we’re taking action to address that,” said Trudeau.
The tariffs are not necessarily targeted at Chinese brands like BYD, which previously announced its intent to enter the Canadian market. Tariffs will currently apply to vehicles like Shanghai-made Teslas already sold in Canada.
A senior government official clarified that Canada is not enacting these tariffs under U.S. pressure, but that the government has been considering the prospect of Chinese automakers overtaking the Canadian EV industry for months, long before the U.S. announced its own tariffs in May.