Who benefits most from Canada's ambitious EV targets? Maybe China

Flavio Volpe, head of the Automotive Parts Manufacturers' Association, believes the recent electric vehicle targets set out by Canada's environment minister also carried this pointed message to Canada's domestic auto industry: «Let them eat cake.»

Volpe says he has come to this conclusion because he believes those goals, which include a national target of 100 per cent zero-emission vehicle sales by 2035, cannot be met.

He accused the government of not caring whether those cars are domestically built or come from China, regardless of the impact it may have.

«Which is a very damaging proposition to Canadian industry and Canadian interests,» Volpe said.

He and other analysts suggest there could be unintended consequences for setting such targets and warn that China and its auto manufacturing base could come out the winner, all at the expense of Canada's auto industry.

CBC News asked the environment ministry about concerns that the government's EV targets will only help to serve China's EV auto manufacturers while having a significant negative impact on Canada's auto manufacturing base.

Targets are obtainable, ministry says

In response, the ministry said that the government's EV targets are being complimented with «multiple measures» to ensure that Canada benefits from the transition to electric vehicles.

«Indeed, the manufacturing of zero-emission vehicles, their components, including batteries and the acquisition and refining of the critical minerals they need, represent huge opportunities that are already paying dividends for the Canadian economy,» it said in an emailed statement.

The government is building on its record of being a destination of choice for investments throughout the vehicle supply chain, and has secured $34