Latest news with #IncentivesforZero-EmissionVehicles
Yahoo
30-05-2025
- Automotive
- Yahoo
Tesla registrations down 90 per cent in Quebec in 1st quarter of 2025
Quebec EV buyers' relationship with Tesla is showing signs of souring as sales in the province plummeted in the first quarter of 2025. Only 524 Teslas were registered in Quebec between Jan. 1 and March 31, according to Quebec's auto insurance board, the Société de l'assurance automobile du Québec. That's a 90 per cent drop from the previous quarter when 5,097 of the electric automaker's cars were registered in the province, as first reported by Le Devoir. The data, also obtained by CBC News, shows that Tesla registrations in Quebec — Canada's largest EV market, including for Tesla — rose 30 per cent from 2023 to 2024 before nosediving in early 2025. And though CEO Elon Musk and his involvement in the Trump administration has "absolutely" had an impact on sales, says Daniel Breton, president of Electric Mobility Canada, the reasons go beyond a general dislike of the EV company's founder, with tariffs and rebate cutbacks likely contributing to the decline. The federal EV rebate program Incentives for Zero-Emission Vehicles (iZEV) ended March 31, and Quebec's program was paused between Feb. 1 and April 1. Quebec-based EV buyers used to be able to stack the rebates, benefitting from as much as $12,000 off the cost of a new vehicle. "Some dealers told me that … basically the message was, well, wait until April," said Breton, whose group is focused on advocacy for electric transportation. "Because the [provincial] rebate was about to come back." Breton believes more fulsome data for the same time period will show that Tesla isn't the only EV maker to take a hit in Quebec's market. According to preliminary S&P Global data, electric vehicle registrations in Quebec declined 65 per cent. Also hurting sales could be the 25 per cent tariff on U.S.-made EVs, including Tesla, Rivian and Lucid cars, imposed by the federal government in response to U.S. President Donald Trump's levies. "Now that the [Quebec] rebate is back, we'll see what happens with the sales of EVs in general and Tesla in particular," said Breton, who has owned a Model 3 Tesla for four years. "I'm really disappointed in what Elon Musk has been doing for the past year or two. So I hope that they find a way to resolve this," he said. "To me, Elon Musk is really hurting the brand." The combined effect of Musk's politics and tariffs have been felt outside of Quebec, with Tesla sales dropping 49 per cent year-over-year, according to the European Automobile Manufacturers' Association. WATCH | Tesla and Canadian politics: In addition to working for the Trump administration, which has repeatedly threatened Canadian sovereignty and imposed damaging tariffs that have upended financial markets, Musk has made dismissive comments about Canada, including saying on X — the social media platform he owns — that it is "not a real country." He has also faced significant criticism for amplifying and endorsing racist and antisemitic conspiracy theories on X and made a gesture at Trump's inauguration many interpreted as a Nazi salute. And Tesla is also under investigation in Canada after the company claimed to have sold 8,653 vehicles in the last three days of the federal rebate program, which would have amounted to $43 million in rebate claims. That questionable number raised suspicions, leading to the probe by the federal government. Despite some of the current concerns, Anne Picard, a Tesla Model Y owner from Dorval, Que., has owned two Teslas for eight years — and says she wouldn't buy anything else. "I don't have enough trust in [other companies] to give the same level of reliability," she said. She said anyone who can should buy an electric vehicle and believes EV consumers should separate their political convictions from their consumer decisions. "The electric vehicle wouldn't be what it is today if it weren't for Elon Musk," said Picard, who works in IT project management, after parking her Tesla at Montreal's Jean Talon Market. Philippe Bergeron Bélanger, who was charging his electric Audi Q4 in Montreal's Plateau neighbourhood Thursday, said he, too, tries to "leave politics out of my choices," but he won't be replacing his car with a Tesla when its lease is up in a year and a half. Chinese EVs once provided an affordable alternative, Bergeron Bélanger noted, but not since Canada slapped more than 100 per cent tariffs on those cars. "I don't feel like having an awkward debate at family dinners or with friends. Otherwise, [Tesla] probably would have been in my top three," said Bergeron Bélanger, who is a managing partner at an investment firm and says he doesn't agree with Musk's actions but is making the choice more based on how polarizing owning the car itself has become. Picard, on the other hand, believes that will blow over soon — if it hasn't already. "C'est un feu de paille," she said, using a French expression that translates to "straw fire" and is the equivalent of "a flash in the pan." Breton says there's no way to know right now whether the Musk backlash will have lasting effects, saying the next quarter will start to paint a fuller picture.
Epoch Times
19-05-2025
- Automotive
- Epoch Times
Electric Vehicle Sales in Canada Down by 44% From Last Year: StatCan
Electric vehicle sales have dropped 44 percent since last year, even as the overall new vehicle market grows, according to latest vehicle sales update. In March 2024, 22,390 new zero-emission vehicles (ZEVs) were sold in Canada, including battery electric and plug-in hybrid models. This year, however, the sales for March dropped to 12,347 ZEVs, StatCan determined through its . Overall, the total number of all types of new vehicles purchased in March was 189,259, reflecting a 9.4 percent increase from sales of March last year. The federal agency says the increase is largely due to a boost in sales of new light trucks, which gained 13.5 percent from last year. Sales of new passenger cars declined 10.9 percent from the previous year. The largest decrease in new automobile sales was for electric vehicles (EVs), which made up 6.5 percent of the total vehicles sold in March this year. StatCan's survey did not mention what led to the decline of EV sales. from the federal agency, however, indicated that sales have been plummeting since the federal government in January this year paused its incentive program, which lowered the price on an EV by thousands of dollars. Transport Canada introduced the Incentives for Zero-Emission Vehicles (iZEV) Program in 2019 to make new electric vehicles more affordable for Canadians by providing rebates of up to $5,000 to individuals purchasing or leasing ZEVs. Related Stories 5/13/2025 1/14/2025 The federal government paused the program on Jan. 12, more than two months earlier than it was scheduled to end, as the program's allocated funds were fully exhausted, said in an updated question and answer form regarding the program's pause. Mandatory Targets Since the termination of Transport Canada's incentive program, automakers in Canada have been imposed by the federal government. Canada's 2030 Emissions Reduction Plan, introduced by former Prime Minister Justin Trudeau in 2022, set mandatory targets for new vehicle sales. The interim target set for 2026 is for ZEVs to represent at least 20 percent of all new light-duty vehicle sales. The goal by 2030 is 60 percent, and ultimately 100 percent by 2035. Automakers have pushed back against the mandates on ZEV sales since they were first announced, saying sales targets cannot be achieved unless affordability and vehicle charging concerns are addressed. The Canadian Automobile Association (CAA) conducted a earlier this year to address Canadians' concerns related to owning EVs and their reliability when driving in cold winter conditions. Issues with battery range in cold weather was a top concern for more than two-thirds of electric vehicle owners polled in a 2024 CAA . 'In CAA's recent survey of EV owners, 4 in 10 EV drivers said significant slower charging in extreme cold weather is a problem,' the study said. 'And more than half (53 percent) of EV drivers still prefer to take their gas vehicle on long trips in extremely cold weather.' Ontario EV Projects Delayed A drop in sales has also led to some auto manufacturers slowing down their EV investments. Honda Canada will be for electric vehicle production in Ontario, the company announced in a on May 13. 'Looking ahead, the growth of the electric vehicle market has slowed more than initially expected, making it difficult to anticipate further progress,' said Honda CEO Toshihiro Mibe . 'Therefore, we have decided to postpone large-scale investments in Canada.' Honda's electric vehicle project includes a vehicle manufacturing plant and a battery manufacturing facility in Alliston, Ont. Despite the company's move to delay the project, Industry Minister Mélanie Joly says Honda Canada's CEO assured her that Last month, at an EV plant in Ingersoll, Ont., due to low demand for its EV offerings, including electric delivery vans and batteries for passenger vehicles, leading to the indefinite layoff of around 500 employees. 'This adjustment is directly related to responding to market demand and re-balancing inventory,' the company told The Epoch Times in an email. Chandra Philip, Jennifer Cowan, and Matthew Horwood contributed to this report.
Time of India
09-05-2025
- Automotive
- Time of India
Elon Musk close to filing a class action lawsuit against Canada; here's the reason and why Mark Carney could be on the back foot
Tesla is in conflict with the Canadian government and has threatened legal action against Canada. The dispute is over the Incentives for Zero-Emission Vehicles program. Canada froze Tesla's access, blocking millions in tax credits. Tesla filed many rebate claims quickly. Some claims seemed questionable. Tesla insists it followed the rules. It demands immediate payouts. Tired of too many ads? Remove Ads Tesla Threatens Lawsuit Against Canada Over Freeze on Tax Credits What Does Tesla Want from the Canadian Government? Tired of too many ads? Remove Ads FAQs Tesla is reportedly threatening to file a lawsuit against the Canadian government after a freeze on the Incentives for Zero-Emission Vehicles (iZEV) program blocked Tesla from receiving tax credits worth up to $30 million, as per a report. The freeze was implemented in January, and the company claims it was unfairly excluded from the program, according to freeze followed Tesla's filing of massive rebate claims for iZEV, worth more than 8,600 claims valued at $30.9 million, as per the report. The claims were all filed in 72 hours, with some from a single Quebec City Tesla showroom, which claimed to have sold 4,000 vehicles in one weekend, according to March, Canadian Transport Minister Chrystia Freeland said that Tesla specifically would be prohibited from accessing future rebates under the iZEV program, as per the report. The move was considered to be in response to the United States president Donald Trump's tariffs on Canada, according to the report. Futurism also reported that she ordered her office to ban Tesla from eligibility for future tax credit programs so long as "illegitimate and illegal US tariffs are imposed against Canada."According to the Toronto Star, Tesla has insisted that the tax credit freeze was "inappropriate," because "Tesla Canada has been fully compliant with its participation in the program," quoted EV maker has demanded iZEV payouts start "in the immediate term" for those rebates filed before the January cutoff, even though they are considered to be fudged, as per Tesla filed over 8,600 rebate claims in just 72 hours for the iZEV program, with some claims coming from a Quebec showroom that reported selling 4,000 vehicles over a single Canadian government froze Tesla's access to the iZEV program, blocking the company from receiving tax credits worth up to $30 million, as per Futurism.
CBC
26-03-2025
- Automotive
- CBC
Canada freezes rebate payments to Tesla, bars it from future programs due to tariffs
Social Sharing Canada has frozen all rebate payments for Tesla and banned the electric-vehicle maker from future EV rebate programs, Transport Minister Chrystia Freeland said on Tuesday. No rebate payments will be made until each claim is individually investigated and determined to be valid, Freeland said in an emailed statement shared by her office. Freeland also directed Transport Canada to revise eligibility requirements for future Incentives for Zero-Emission Vehicles (iZEV) programs to ensure that Tesla vehicles are not eligible as long as the "illegitimate and illegal U.S. tariffs are imposed against Canada." Tesla did not immediately respond to a Reuters request for comment. U.S. President Donald Trump has imposed a slew of tariffs, with the bulk due in early April, in the form of 25 per cent taxes on most goods from Canada. Trump on Monday said automobile tariffs are coming soon, although not all of his threatened levies would be enforced on April 2 as previously indicated. Canada has frozen $43 million in rebate payments for Tesla. The order to stop the payments came before Liberal Leader Mark Carney announced a general election would take place April 28, according to the Toronto Star, which reported the news earlier. The Star reported earlier this month that Tesla filed an extraordinary number of EV rebate claims in the final days of the program in January, with a single Tesla dealership in Quebec City claiming nearly $20 million in public subsidies by documenting more than 4,000 electric vehicle sales over a single weekend. Ontario stopped providing financial incentives for Teslas purchased as taxis or ride shares because of trade tensions with the U.S. earlier this month. Tesla CEO Elon Musk, a close ally of Trump, has been leading the White House effort to shrink the federal government and budget as the head of the Department of Government Efficiency.
Yahoo
25-03-2025
- Automotive
- Yahoo
Tesla's $43M in Canadian EV rebate claims raise alarm as competitors demand answers
Auto dealers and the Canadian public 'deserve answers' for Tesla's flurry of rebate claims during the final three days of Canada's Incentives for Zero-Emission Vehicles program, according to Huw Williams, director of public affairs for the Canadian Automobile Dealers Association (CADA). The U.S.-based EV maker filed 8,669 rebate claims worth $43.2 million Jan. 10-12, according to data from Transport Canada. The legion of claims helped empty government coffers of incentive funding and left 226 franchised dealers on the hook for at least 2,295 unpaid government rebates, worth up to $5,000 apiece, Williams said, before some automakers stepped in to lend assistance. Chaotic end to Canada's EV rebate program leaves buyers, dealers in limbo 'We don't know the mechanics. We don't know if there's malfeasance. We don't know if somebody was tipped off. We don't know if it's gaming the system. But we do know that there's nothing normal about that amount of claims over that short a period of time.' Tesla did not respond to request for comment. Sign up for Automotive News Canada Breaking Alerts and be the first to know when big news breaks in the Canadian auto industry. The automaker's weekend filing frenzy, first reported by the Toronto Star, kicked off Jan. 10, when Transport Canada warned stakeholders that the iZEV program was running low on funding and likely to conclude sooner than its expected March 31 end point. The government warning set off what amounted to a run on the program. While corporately owned Tesla stores were the primary actors, they weren't alone. Nearly 500 dealerships submitted thousands of claims and pre-approvals to the iZEV portal Jan. 11 and 12, according to Transport Canada. As funding ran dry Jan. 12, the government department shut down the submission portal. It informed dealers that the program's funding pool had been fully exhausted and no further claims would be accepted a day later. Tesla accounted for 88.7 per cent of the 9,782 claims made in the final three days of the program, with all other brands registering 1,113 claims, according to government data. That's a stark difference from the breakdown of iZEV claims throughout 2024. While Tesla led the way among brands for the year, it recorded only about 20 per cent of total claims. Transport Canada gave dealers relatively wide latitude when submitting claims, though advised dealers to begin the claims process and receive a pre-approval from the department 'before the delivery of the vehicle and providing an incentive.' CADA CEO Tim Reuss told Automotive News Canada in January that dealers did not typically submit claims in real time, but filed them in batches every week or so, Some dealers established firm processes for filing claims — when a vehicle built abroad arrived at the Port of Vancouver, for instance. Others waited until after delivery, or after a handful of claims built up, putting them in a precarious position in January when iZEV funds ran out. To provide consumers the rebate, dealers applied the incentive directly on the vehicle's bill of sale. Transport Canada then typically reimbursed the dealer within 20 business days of the purchase being validated. Notably, the claims submitted by Tesla and other dealerships Jan. 10-12 do not necessarily reflect sales or deliveries in that timeframe. The claims captured by Transport Canada's data, reported monthly, reflect the date the claim enters the government's system. They may be paid or be in processing. Tesla also has a history of clustering its claims, though not previously on the level reached in the iZEV program's final days. During Ottawa's previous two fiscal years, the automaker made several large sets of claims in short spans of time, topping 1,000 claims in three-day stretches in several instances. In one particularly busy period in August of 2023, Tesla made 5,653 rebate claims over five days. Transport Canada would not directly address whether it is investigating Tesla's large volume of claims in the lead up to the iZEV program's end. But that doesn't mean the rebates have been paid. Spokesperson Sau Sau Liu said the department 'continues to assess the large batch of claims submitted by dealerships' after the announcement of the program's pause. CADA's Williams said while Tesla's staggering number of claims 'need answers,' ensuring dealers are reimbursed for incentives provided to consumers is the organization's primary focus. Several dealers are out hundreds of thousands of dollars, he added, putting local jobs on the line. In the past two months, Transport Canada has softened its stance on reimbursing dealers who sold rebated vehicles to consumers but did not file the paperwork in time. In February, the department told Automotive News Canada that dealers who had not begun the claims process would not be eligible to receive the incentive. By mid-March, Liu said Transport Canada 'is examining all possible options for dealerships who did not submit their eligibility application before the deadline.' Williams said Transport Canada should be looking to iZEV contingency funding, cash from Ottawa's undersubscribed Incentives for Medium- and Heavy-Duty ZEVs program or returning to Parliament to appropriate more funds to ensure dealers are paid.
