this post was submitted on 05 Mar 2025
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Canada has the same incentive to not open the door to Chinese EVs that the US does.
Why would they shoot themselves in the face just to splash some blood on someone else?
Canada doesn't have the incentives that the Americans have at all. Correct me if I'm wrong. America's incentive is to protect its own EV industry, Canada doesn't have an EV industry of its own.
You're wrong. Just the nature of of the auto industry makes it a little confusing since the entirety of a car isn't manufactured in one country. But there are a lot of components for EVs manufactured in Canada. There's especially a focus on manufacturing batteries for EVs which is the single most important component in an EV. And more plants for battery manufacturing are under construction.
What is the reason btw? Genuinely asking because I dunno
It isn’t that an inexpensive electric vehicle from China is bad, in fact that’s great.
The issue is that the cars are subsidized at such a rate that it goes beyond domestic incentive and into “we’ll just make sure no matter what we can sell for less than the competition” in an effort to drive any competition out of business.
It’s an anticompetitive practice that has significant impacts if allowed unchecked.
This is not meant as a value statement about the west, USA or Canada … as in I’m not saying “China bad when they do it, west good when they do it” because it’s bad when it’s done by whoever does it.
Effectively it’s a lever to weaponize fair trade and that’s antithetical to the idea of fair trade, at least insomuch as the international community tends to agree.
Yes but Canada has no EV industry... so, even if it's just temporarily to provide Canadians with an option while telling American companies to suck it... what's the problem?
Are we really going to say we don't to business with China because of anti-competitive practices when we have been doing business with American doing WAY worse all along?
A worthwhile note is also that pretty much all US car manufacturers have dragged their feet doing EVs, excluding Tesla. So naturally US car manufacturers are struggling a lot with the massive costs related to adopting EVs now, and struggle competing with a country that spent this money getting established a good while ago.
The subsidies are still a problem, but the 100% tax is in my view a massive handout to domestic manufacturers that never bothered to try until they were behind. That 100% price increase in Chinese will probably mean high margins on EVs for yet some years before cheap alternatives come along.
Why does that matter to Canada? They don't make their own EVs. They have no domestic manufacturers to protect against dumping. Might as well just get as many cheap vehicles as you can, while you can.