Electric Vehicles in Canada: Between Government Ambitions and Industry Challenges

Despite falling demand for EVs, the Canadian government continues to increase its domestic production capacity, opening the market to new foreign players.

“Our goal is to have 100% of our passenger car and light commercial vehicle sales be zero-emission by 2035,” Prime Minister Trudeau said in connection with Honda’s decision to invest $15 billion in expanding its assembly plant in Alliston, Ontario.

By 2028, the company should be producing up to 240,000 cars a year, and, as Honda and Trudeau assured Canadians, “this will add more than 1,000 high-paying jobs.”
Doug Ford, in turn, said that the investment “is a huge win for Ontario.”
However, representatives of the auto industry do not share the politicians’ enthusiastic enthusiasm.

Tesla sales have fallen by almost half, Ford Motors Co. has announced a delay in the start of production of its cars in Oakville, and the Chinese, the world leaders in EV production, are overwhelmed with unsold cars.

“Before launching such a project, it is necessary to reduce prices and expand the network of charging stations, otherwise we will face the same thing,” said Flavio Volpe, president of the Canada Automotive Parts Manufacturers Association.

Anastasia Chupina