Canada Delays Plan to Force Automakers to Meet EV Sales Targets
The Canadian government has delayed its plan to force automakers to meet minimum sales levels for electric vehicles (EVs), citing the need to review the policy amid the country's auto sector facing "extreme pressure" due to U.S. tariffs.
According to a report by CBC News, Prime Minister Mark Carney announced on Friday that the government will conduct a 60-day review of the EV mandate, which was set to take effect in 2026. The review will examine the entire policy and its potential impact on the auto sector.
"We have an auto sector which, because of the massive change in U.S. policy, is under extreme pressure. We recognize that," Carney said at a news conference in Mississauga, Ont. "They've got enough on their plate right now. So we're taking that off."
The EV mandate was part of a series of measures aimed at reducing greenhouse gas emissions and promoting the adoption of electric vehicles. However, automakers have expressed concerns about the policy's feasibility and potential costs.
Brian Kingston, president of the Canadian Vehicle Manufacturers' Association (CVMA), welcomed the decision to delay the mandate. "The EV mandate imposes unsustainable costs on auto manufacturers, putting at risk Canadian jobs and investment in this critical sector of the economy," he said in a statement.
Kingston's comments were echoed by other industry experts who have long argued that the EV mandate would be too costly for automakers to implement. However, environmental groups have expressed concerns about the delay, saying it could undermine efforts to reduce greenhouse gas emissions and promote sustainable transportation options.
The review of the EV mandate is part of a broader examination of Canada's climate measures, which are aimed at reducing the country's carbon footprint and meeting its international commitments under the Paris Agreement. The government has promised to provide more information on the outcome of the review in the coming weeks.
In related news, the Canadian government announced on Friday that it would be providing additional support to the auto sector, including funding for research and development and investments in new technologies. The move is seen as an effort to mitigate the impact of U.S. tariffs on the country's auto industry.
The delay of the EV mandate has sparked debate among politicians and industry experts about the best way forward for Canada's auto sector. While some have welcomed the decision, others have expressed concerns that it could undermine efforts to promote sustainable transportation options and reduce greenhouse gas emissions.
As the review of the EV mandate continues, one thing is clear: the Canadian government is taking a cautious approach to implementing policies aimed at promoting electric vehicles and reducing greenhouse gas emissions. The outcome of this review will likely have significant implications for the country's auto sector and its efforts to meet its climate commitments.
*Reporting by Tech.*