Volvo eyes Chinese language EV imports to Canada after tariff lower

Volvo Automobiles Canada is actively investigating the import of Chinese language-built electrical autos (EVs) after Prime Minister Mark Carney’s administration diminished its tariffs on such merchandise from an insurmountable 100% down to six.1%. Managing Director Matt Girgis confirmed to information outlet Electrical Autonomy that the Geely-owned automaker is a number of fashions, together with the EX30 compact crossover it beforehand imported from its plant in Zhangjiakou.

“The EX30 continues to be produced in China, similar with different automobiles that we have now,” Girgis informed the outlet. “Some automobiles we promote in North America, some we don’t. Some are particular to the Chinese language market. However for us now, it’s about investigating the chance and seeing if there’s something we are able to do there, if we should always achieve this.”

Volvo at present builds three battery-electric fashions in China: the EX30, EX40 and the EM90 minivan respectively. It additionally builds plug-in hybrids and extended-range variants not at present provided in Canada. Manufacturing of Canada-bound EX30s was moved over to a plant in Ghent following the imposition of 100% tariffs again in 2024.

Whereas Canadian shoppers look like warming to the thought of Chinese language-made EVs, nothing is about in stone for Volvo simply but. Amongst different issues, points round certification and logistics stay unresolved. “We’re the whole lot proper now,” Girgis stated. “On one aspect, the automobiles must be North American licensed, proper? So we have to be sure that they examine that field. After which, there’s a complete bunch of questions you have to reply round freight and logistics. Is it attainable with the manufacturing unit suppliers? All that type of stuff. However the investigation is ongoing.”

Girgis additionally expressed some issues a couple of perceived lack of coverage element from Ottawa. Because it stands, Canada’s annual quota stands at 49,000 Chinese language EVs, a ceiling Volvo’s 14,500 whole Canadian gross sales in 2025 falls comfortably inside. “What does it imply?” he remarked. “What’s the top aim, might be the larger query, with 49,000 automobiles in an business of two million. It’s a small portion, however the place can we go from right here? How briskly can we go? Who’s allowed to return in? … How does that course of occur?”

On broader EV coverage, Girgis welcomed the return of buy incentives and the scrapping of the Electrical Car Availability Normal, whereas calling for extra element on the alternative emissions framework. “We want the federal government to take part,” he acknowledged. “From that lens, I’m joyful to see the bulletins come again with some readability on the mandates, with some reintroduction of the rebates and in addition with funding in charging infrastructure. The way it involves life and the principles behind it are nonetheless a little bit of a TBD. The punchline is: I feel they’re heading in the right direction, however clarification is required on the main points. As a result of they matter, proper?”

On the time of writing, BYD is the one main Chinese language automaker formally registered with Transport Canada to import passenger automobiles. Chery has additionally been recognized as a probable early market entrant beneath the brand new association.