\n<\/p>\n
Canada has agreed to drastically reduce its tariffs on imported Chinese EVs from 100 percent to 6.1 percent as part of a<\/p>\n
between the two countries. In return, China will be reducing tariffs on Canadian canola seeds from 84 percent to about 15 percent.<\/p>\n
The move is a break from the United States, which maintains a 100 percent tariff on EVs from China, effectively banning them in the country. Mexico currently tariffs the vehicles at 50 percent after<\/p>\n
last year.<\/p>\n
Under the agreement, which Canadian Prime Minister Mark Carney<\/p>\n
“preliminary,” Canada will allow up to 49,000 Chinese EVs into the country, with that number rising to 70,000 after five years. Until now the three major North American trading partners had been aligned in trying to protect their domestic electric vehicle manufacturing. Chinese EV companies benefit from<\/p>\n
, and as such can often be priced at a far better value than domestic alternatives.<\/p>\n
\u201cOur relationship has progressed in recent months with China. It is more predictable and you see results coming from that,\u201d Carney<\/p>\n
. A warmer relationship may be forming in response to the Trump administration’s<\/p>\n
, with China hoping that alienated nations may<\/p>\n
with the Eastern power.<\/p>\n
As to concerns that cheaper electric vehicles from China could hurt the Canadian auto market, the prime minister was unconcerned, saying “it\u2019s still in low, single-digit proportion of the size of the Canadian auto sector,” Carney added, \u201cCanadians buy about 1.8 million autos a year.\u201d China remains Canada\u2019s second-largest trading partner after the United States.<\/p>\n<\/div>\n