Trudeau says Canada will slap big tariffs on Chinese-made EVs

Prime Minister Justin Trudeau announced Monday Canada will impose punitive tariffs on Chinese-made electric vehicles — copying a similar initiative that the U.S. is already pursuing to stop a flood of what's been described as unfairly state-subsidized cars.

Trudeau made the announcement at the federal cabinet retreat in Halifax where ministers are meeting to craft a strategy for the year ahead — the last year before an expected federal election in October 2025.

Amid industry pressure to copy the U.S. program, Trudeau said a 100 per cent surtax will be levied on all Chinese-made EVs, effective Oct. 1. The tariff would effectively double the price of imported vehicles, as it is expected most of the tax would be passed on to consumers.

Ottawa is following through now, Trudeau said, to «level the playing field for Canadian workers» and allow Canada's nascent EV industry to compete at home, in North America and globally.

Separately, Trudeau also announced Monday the federal government will apply a 25 per cent surtax on imports of steel and aluminum products from China, effective Oct. 15.

«Actors like China have chosen to give themselves an unfair advantage in the global marketplace, compromising the security of our critical industries and displacing dedicated Canadian auto and metal workers. So, we're taking action to address that,» Trudeau said.

The tariff will apply to electric and certain hybrid passenger automobiles, trucks, buses and delivery vans.

Chinese brands like BYD are not a major player in Canada's EV market right now but imports from China have exploded in recent years as Tesla switched from U.S. factories for its Canadian sales to its manufacturing plant in Shanghai.

The new tariff will apply to those Shanghai-made