"Complete Turnaround"... China and Canada Reunite Over Electric Vehicles

Canada to Import Up to 49,000 Chinese Electric Vehicles

Bloomberg reported on May 29 (local time) that Chinese-made electric vehicles (EVs) have entered the Canadian market.

According to Bloomberg, this development follows the bilateral trade agreement announced after Canadian Prime Minister Mark Carney paid an official visit to China in January and held a summit with Chinese President Xi Jinping.

At the time, the two leaders declared a normalization of relations, stating, "Let us begin a new strategic partnership." As a result, the tariff on Canadian canola seed exports to China—which had previously been 84%—was lowered to approximately 15% starting March 1, and Canadian citizens have been allowed to enter China without a visa.

Canadian Prime Minister Mark Carney and Chinese President Xi Jinping are holding a summit at the Great Hall of the People in Beijing on January 16. Photo by Xinhua News Agency

Canada lowered its tariff on Chinese electric vehicles to 6.1% and agreed to import up to 49,000 units. This is a significant relaxation from the 100% tariff imposed by the previous government under Prime Minister Justin Trudeau in 2024, which was aligned with U.S. sanctions against Chinese EVs.

An industry insider, who requested anonymity, told the outlet that hundreds of electric vehicles produced at Tesla's Shanghai factory have recently begun entering Canada under the new low tariff regime over the past few days.

Earlier this month, it was also reported that the vehicle carrier Glovis Treasure, which departed from Shanghai, is currently anchored near the Port of Vancouver. It is said to be carrying high-end Chinese automobiles, including vehicles from Lotus.

Until now, Canada had effectively blocked the entry of Chinese electric vehicles by imposing high tariffs, while China retaliated by imposing tariffs on Canadian agricultural products. The two countries, whose relations deteriorated after the 2018 arrest of Huawei's Vice Chairwoman Meng Wanzhou, have sought to improve ties amid a trade war following the launch of the Trump Administration's second term. Prime Minister Carney's visit to China in January has since ushered in a full-fledged thaw in relations.

This content was produced with the assistance of AI translation services.