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The Canadian government said that the was not only to protect Canada’s workers but also to prevent “trade diversion” resulting from recent actions taken by Canada’s trading partners. Both the US and Europe have recently introduced further tariffs on Chinese goods.

The surtax on electric vehicles will be 100% and applies to a variety of different road-going vehicles, including passenger EVs, plug-in hybrid passenger autos, hybrid and electric trucks, trucks powered by fuel cells, and hybrid and electric buses.

However, by the Canadian government did not appear to include off-highway construction equipment.

Separately, the government of Canada said it would launch a second 30-day consultation concerning other sectors “critical to Canada’s future prosperity” including batteries, battery parts, semiconductors, solar products and critical minerals.

And it announced its intention to limit eligibility for the Incentives for Zero-Emission Vehicles (iZEV), the Incentives for Medium and Heavy Duty Zero Emission Vehicles (iMHZEV), and the Zero Emission Vehicle Infrastructure Program (ZEVIP) to products made in countries which have negotiated free trade agreements with Canada.

Canada’s deputy prime minister and minister of finance Chrystia Freeland said, “Canada is home to the talented workers, raw materials, clean electricity, and specialized production capabilities needed to build electric vehicles, and that is why our EV supply chain potential is ranked first in the world.

“Canadian workers and critical sectors, including steel and aluminum, however, are facing an intentional, state-directed policy of overcapacity, undermining the Canada’s ability to compete in domestic and global markets. That is why our government is moving forward with decisive action to level the playing field, protect Canadian workers, and match measures taken by key trading partners.”

Could US tariffs on Chinese goods endanger adoption of electric construction equipment? When news emerged last month that the US government would be raising tariffs on a wide range of Chinese goods, including electric vehicles and batteries, it wasn’t immediately obvious whether this would apply to construction equipment

US slaps increased tariffs on Chinese goods used in construction The US government has announced that it is raising tariffs on a wide range of Chinese goods, including on materials and machinery used in the construction industry

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