Canada Hits China-made Electric Cars with 100% Tariff

Canada says it will impose a 100% tariff on imports of China-made electric vehicles (EV) after similar announcements by the US and European Union.

The country also plans to impose a 25% duty on Chinese steel and aluminium.

Canada and its Western allies accuse China of subsidising its EV industry, giving its car makers an unfair advantage.

China has called the move “trade protectionism” which “violates World Trade Organization rules”.

“We are transforming Canada’s automotive sector to be a global leader in building the vehicles of tomorrow, but actors like China have chosen to give themselves an unfair advantage in the global marketplace”, said Canadian Prime Minister Justin Trudeau.

Canada’s duties on Chinese EVs are due to come into effect on 1 October, while those on steel and aluminium will be implemented from 15 October.

In May, the US said it would quadruple its tariffs on imports of Chinese EVs to 100%.

That was followed by the EU, which announced plans to impose duties on China-made EVs of up to 36.3%.

Canada’s tariffs on Chinese EVs will include those made by Tesla at its Shanghai factory.

Chinese car brands are still not a common sight in Canada but some, like BYD, have taken steps to enter the country’s market.