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Canada Considers Brand Caps for China EV Quota as First Shipments Begin

Officials seek to keep the lower-tariff program from being dominated by early movers.

Overview

  • Canadian officials, in Thursday reporting, said they are weighing automaker-specific limits within the 49,000-vehicle annual quota to stop any one company from taking most permits.
  • Tesla has switched Canadian supply to Shanghai and launched a Model 3 Premium RWD at C$39,490, a price that could let it claim a large share of the first 24,500 permits even though these cars do not qualify for the C$5,000 federal rebate.
  • Lotus loaded the first batch of China-built Eletre SUVs for Canada, marking the first physical shipments under the new rules and a relaunch at C$119,900 after prices fell with the tariff cut.
  • The first permit window opened March 1 and runs through August 31 on a first-come basis, and Global Affairs Canada said earlier this week that none had yet been issued as the government monitors allocation.
  • BYD, Chery, and Geely are hiring staff and scouting dealerships for late-2026 sales, but Transport Canada certification and dealer build-outs remain the main hurdles to mass entry.