Canada has announced plans to impose a 100% tariff on imports of Chinese electric vehicles (EVs) and a 25% tariff on imported steel and aluminum from China, following similar actions by the United States and European Union.
This move, set to take effect on October 1, targets all EVs shipped from China, including those produced by Tesla, which saw its shares drop by 3.2% following the news.
Canadian Prime Minister Justin Trudeau stated that these measures are in response to China’s “intentional, state-directed policy of over-capacity” and are aligned with global efforts to counter China’s trade practices.
He emphasized that Canada is acting in coordination with other economies to ensure fair competition.
In response, a spokesperson for China’s Commerce Ministry criticized the tariffs, arguing that they would disrupt global industrial and supply chains and undermine the global economic system and trade rules.