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Or sign-in if you have an account.Chinese-made EVs began entering Canada under the new low-tariff quota in May, but so far the vast majority are Tesla Inc. cars made at the U.S. automaker’s Shanghai factory. Photo by CN-STR/AFP via Getty ImagesAt least four Chinese carmakers are looking at how to use Canada’s low-tariff import quota for their electric vehicles and are interested in domestic manufacturing partnerships, Industry Minster Melanie Joly said.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorJoly traveled to China last week and met with officials from BYD Co., Chery Automobile Co., Zhejiang Geely Holding Group Co., and Shanghai Launch Automotive Technical Co., she told reporters Monday.Her trip followed Prime Minister Mark Carney’s January visit to Beijing, where he unveiled a trade pact that allows as many as 49,000 Chinese-made EVs to enter Canada under a tariff of about six per cent — scrapping the additional 100 per cent tariff imposed on the cars in 2024.Breaking business news, incisive views, must-reads and market signals. 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Please try againAs part of the deal, Carney also said his government is looking to attract Chinese investment into the Canadian auto sector.Joly told reporters that all the companies she met with are “willing to explore creating joint ventures in Canada in order to produce in Canada.”But she reiterated that it would have to take place under certain conditions, including that the joint venture be Canadian-controlled and have a localized supply chain.“We need to make sure that we are able to do this right,” she said, pointing to her ministerial oversight of the Investment Canada Act, which allows her to set conditions on sensitive foreign investments in Canada.Carney’s government has held discussions with Stellantis NV about building Chinese EVs in an idled plant in Brampton, Ontario, Bloomberg has reported.The cars would potentially be produced through Stellantis’ joint venture with Chinese firm Zhejiang Leapmotor Technology Co., but it’s unclear whether the company can meet Joly’s terms for localized production. After news of the talks emerged, Joly said she would reject “cars in a kit,” where the parts are built overseas and shipped to Canada for final assembly.Meanwhile, Chinese-made EVs began entering Canada under the new low-tariff quota in May, but so far the vast majority are Tesla Inc. cars made at the U.S. automaker’s Shanghai factory.The Canadian government is still deliberating over how to allocate the quota, and may put a limit on how much one automaker can use to ensure that multiple firms are able to take advantage.Canada’s auto industry has been hit hard by United States tariffs and a pullback in EV investment. Last month, Honda Motor Co. indefinitely suspended plans to build a $15 billion EV battery supply chain in Alliston, Ontario.Joly struck an optimistic note about Honda’s plans for the community.“I’m confident good news is coming,” she said. “I know that there’s a lot of anxiety in the auto sector, but to those working in Alliston, we have your back and we’re working with the company.” Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.
Chinese carmakers weighing Canada manufacturing deals, Joly says
Chinese carmakers are looking at how to use Canada’s low-tariff import quota for EVs and are interested in domestic manufacturing. Read here
Four Chinese automakers negotiate Canadian manufacturing for 49,000 EVs at 6% tariffs, requiring Canadian control and local supply. The deal reflects supply-chain reallocation: Chinese EV makers enter North America post-tariffs, reshaping auto competition between traditional and emerging OEMs.







