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2mo ago

Automakers Urge Carney to Scrap Canada’s Electric Vehicle Mandate as Government Considers Adjustments

Ottawa is considering easing near-term EV targets because paused rebates and U.S. tariffs have squeezed automakers’ sales and exports.

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Clean Energy Canada urges Ottawa not to repeal its EV mandate and instead focus on delivering more affordable EVs, reviving rebates, and improving charging access.

Overview

  • CEOs of Ford Canada, GM Canada and Stellantis met with Prime Minister Mark Carney this week to lobby for the elimination of the federal zero-emission vehicle mandate on grounds that it threatens thousands of jobs.
  • The government signalled it may adjust interim sales benchmarks rather than repeal the mandate outright.
  • Zero-emission vehicles accounted for just 7.5 per cent of new light-duty vehicle sales in April, marking a 28.5 per cent decline from April 2024.
  • Exports of Canadian light-duty vehicles to the United States fell by 23 per cent in April as U.S. tariffs on steel, aluminium and vehicles persist.
  • Clean Energy Canada has urged Ottawa to revisit interim ZEV targets, restore and gradually phase out the $5,000 rebate and allow a limited quota of affordable imports to bolster the sector.