403
Sorry!!
Error! We're sorry, but the page you were
looking for doesn't exist.
Canada to impose 100 percent tariff on Chinese EVs amid concerns about unfair trade practices
(MENAFN) Canadian Prime Minister Justin Trudeau has announced a significant move against Chinese electric vehicle (EV) imports, implementing a 100 percent tariff in an effort to curb the influx of state-subsidized Chinese cars into North America. This decision aligns with similar measures taken by the United States, which aims to address concerns that China, a leading exporter of electric vehicles, is not adhering to international environmental and labor standards. In addition to the EV tariff, Trudeau revealed an extra 25 percent tax on steel and aluminum imports from China, further intensifying trade tensions between the two nations.
Trudeau's announcement comes on the heels of recent actions by both the United States and the European Union, which have imposed tariffs on Chinese electric vehicles at rates of 100 percent and 38 percent, respectively. These measures reflect growing concerns in the West about the impact of heavily subsidized Chinese vehicles on local industries. Canada’s auto manufacturing sector, which employs over 125,000 people, has received substantial government investment to support the transition to electric vehicles and to secure a domestic supply chain for EV batteries. The strategy, which has attracted major players like Goodyear Tire, Honda, Stellantis, and Volkswagen through a range of subsidies, mirrors that of the United States, where the Inflation Reduction Act has provided extensive incentives for the green industry.
In addition to the tariffs, Ottawa has also prohibited new Chinese investments in critical mining sectors, a move designed to protect Canada's strategic resources. Speaking at a press conference in Halifax, Trudeau emphasized the need to respond to what he described as China's overproduction of electric cars and the extensive government support provided to its automotive sector. He warned that without decisive action, there would be a "race to the bottom" in global trade standards. The Canadian government, in a statement, characterized the new tariffs as a necessary response to an "extraordinary threat" posed by China's trade practices, underscoring the seriousness with which Ottawa views the situation.
Trudeau's announcement comes on the heels of recent actions by both the United States and the European Union, which have imposed tariffs on Chinese electric vehicles at rates of 100 percent and 38 percent, respectively. These measures reflect growing concerns in the West about the impact of heavily subsidized Chinese vehicles on local industries. Canada’s auto manufacturing sector, which employs over 125,000 people, has received substantial government investment to support the transition to electric vehicles and to secure a domestic supply chain for EV batteries. The strategy, which has attracted major players like Goodyear Tire, Honda, Stellantis, and Volkswagen through a range of subsidies, mirrors that of the United States, where the Inflation Reduction Act has provided extensive incentives for the green industry.
In addition to the tariffs, Ottawa has also prohibited new Chinese investments in critical mining sectors, a move designed to protect Canada's strategic resources. Speaking at a press conference in Halifax, Trudeau emphasized the need to respond to what he described as China's overproduction of electric cars and the extensive government support provided to its automotive sector. He warned that without decisive action, there would be a "race to the bottom" in global trade standards. The Canadian government, in a statement, characterized the new tariffs as a necessary response to an "extraordinary threat" posed by China's trade practices, underscoring the seriousness with which Ottawa views the situation.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.
Comments
No comment