Chinese automakers race to enter Canada, here are the EVs likely coming

Three major Chinese automakers — BYD, Chery, and Geely — are actively hiring staff, scouting dealership locations, and registering trademarks in Canada following the country’s landmark decision to slash tariffs on Chinese-built EVs from 100% to 6.1%. But none of them have actually started selling cars yet.

The biggest beneficiaries of the new quota system so far are Tesla and, to a lesser extent, Polestar — companies that already have established brands and existing sales infrastructure in Canada.

Chinese automakers are making moves

Canada’s trade deal with China, struck by Prime Minister Mark Carney in January, created a quota system allowing up to 49,000 Chinese-built EVs into the country per year at the standard 6.1% most-favored-nation tariff rate. Interestingly, the strange uneven number was actually based on the number of Chinese EVs, almost entirely Tesla and Polestar vehicles, imported into Canada prior to the 100% tariffs in 2024.

The first 24,500 import permits became available on March 1 on a first-come, first-served basis, with the quota set to grow to 70,000 units annually by 2030.