China’s ambassador said the first Chinese-owned and manufactured vehicles under Canada’s reduced-tariff quota will be delivered in Montreal, with BYD and Chery potentially following later this year.
Geely Holding Group’s Lotus brand electric vehicles are set to enter Canada next month, marking the first Chinese-owned and manufactured cars to be sold under an agreement that allows up to 49,000 Chinese EVs a year into Canada at a reduced tariff rate. China’s ambassador to Canada Wang Di said the vehicles will be delivered in Montreal, where Lotus plans a launch ceremony in early July. He added that BYD and Chery are working with Canadian agencies to complete entry procedures and could reach the market later this year, although BYD Executive Vice President Stella Li recently said sales would likely begin next year. The move comes as Prime Minister Mark Carney seeks to diversify trade away from the United States and as Canada also tries to attract joint ventures and investment into its EV supply chain. Wang said Chinese automakers are interested in joint ventures but are first focused on sales and demand. He also said bilateral trade could more than double, citing a 27.5% rise in Canadian exports to China in the five months since Carney’s January visit and pointing to room for growth in oil, liquefied natural gas and agriculture, even as some Canadian exports still face Chinese tariffs.