Canada targets ‘unfair’ Chinese EV overcapacity with tariff threat

OTTAWA — It’s Canada’s turn to engage in tough talks with China over electric vehicle tariffs.

Deputy Prime Minister and Finance Minister Chrystia Freeland announced Monday plans to launch a 30-day consultation period on July 2 on new policies aimed at tackling “unfair” trade from China.

The government is toying with the idea of ​​a new surtax on Chinese imports of electric vehicles and changes to the rules regarding federal rebates on electric vehicles, Freeland said. She added that Ottawa is open to “broader restrictions,” including duties on batteries made in China.

“We live in a world right now where China is taking advantage of the global economic system,” Freeland told reporters at a Martinrea auto parts plant in Vaughan, Ontario.