- 15,603 Chinese vehicles were imported into Canada in the past six months.
- That was well below the 24,500 quota and another period recently opened.
- Tesla, Lincoln, Lotus, and Polestar have been among the early beneficiaries.
In January, Canada and China announced a “new strategic partnership” that would allow 49,000 Chinese EVs to be imported at a most-favored-nation tariff rate of 6.1%.
Between March 1 and August 31, a total of 15,603 hybrid and electric vehicles were imported and that was well below the maximum of 24,500 allowed for the first period. As Global Affairs Canada noted, the number fell 8,897 short of the quota.
More: The First Chinese EVs Reaching Canada Aren’t The Bargains Buyers Were Promised
While the first period has now come to a close, the second opened on September 1. As the Canadian government explained, it allows for an additional 24,500 Chinese vehicles to be imported. However, there’s also a caveat for “any unused volumes” from period one, so the total for the second period is actually 33,397.
Global Affairs Canada didn’t break down the imports by manufacturer, but Automotive News reports that Tesla is believed to be the biggest beneficiary so far. The company imports a Chinese-made Model 3 Premium and it starts at $39,490 CAD ($28,532 USD).
Besides Tesla, the publication says Lincoln, Lotus, and Polestar have benefited from the move. In regards to Lincoln, the company started importing the Nautilus Hybrid in August and that’s where the 259 hybrid sales are believed to have come from.
While familiar names are the early winners, traditional Chinese brands are coming. Auto News reports that vehicles from BYD, Chery, and Geely are in the process of being certified and have been spotted testing in the country. It’s believed that some of these could be ready for Canadian consumers as early as next year.
This could set up an interesting dynamic as the publication noted the quota limits are on a “first-come, first served basis.” As a result, there’s an incentive to import a lot of vehicles before your competition. However, the government will reportedly keep an eye on things to ensure “equitable access” to low tariff rates.
