Overview

• The requirement that at least 20% of 2026 new light-duty vehicle sales be zero-emission is suspended for at least one year, with 2026 models waived.
• A 60-day review of the Electric Vehicle Availability Standard will consider adjustments to annual milestones, including the 2035 goal, and new flexibilities to cut compliance costs.
• The pause is part of a broader package that includes a $5 billion Strategic Response Fund and targeted regulatory reviews, with officials stressing competitiveness relief for automakers facing U.S. tariffs.
• Automaker and dealer groups welcomed the move and called for Quebec and British Columbia to align their provincial mandates with the federal pause.
• The government declined to commit to lifting the 100% tariff on Chinese EVs, noting the duty is under review as it explores options to expand affordable vehicle choices.