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Conservative leader wants Canada to match U.S. tariffs on Chinese electric vehicles

Conservative leader wants Canada to match U.S. tariffs on Chinese electric vehicles

CBC
Friday, August 09, 2024 06:50:14 PM UTC

Conservative Leader Pierre Poilievre has added his voice to those calling on the federal government to slap tariffs on Chinese electric vehicles and associated parts.

President Joe Biden announced in May that the U.S. would be imposing a new 100 per cent tariff on Chinese electric vehicles (EVs). Washington is also imposing tariffs on Chinese-made advanced batteries, solar cells, steel and aluminium used for EVs.

Industry players have been putting pressure on the federal government to match those tariffs. Poilievre held a press conference in Hamilton, Ont. on Friday to add his support.

"[China has] massively subsidized steel, aluminum and EV industries. They're doing this with the goal of crushing our steel, our aluminum and our automotive production and taking our jobs away," he said.

Poilievre also took aim at Prime Minister Justin Trudeau by suggesting that the government has "failed to protect workers" by not imposing tariffs on Chinese EVs, parts, steel and aluminum.

General Motors, vehicle manufacturers associations and the Ontario government have all said in recent months that Canada needs to act in concert with the U.S. on Chinese EVs and associated parts.

On Thursday, the heads of the Aluminium Association of Canada and the Canadian Steel Producers Association called for a minimum 25 per cent tariff on Chinese aluminum and steel coming into Canada.

A spokesperson for Deputy Prime Minister and Finance Minister Freeland criticized Poilievre's announcement as an attempt to "repackage" the government's own position.

Freeland held consultations throughout the month of July to look at how Canada can respond to Beijing's trade practices in the EV sector.

"Poilievre is two months late to the conversation and is showing his hypocrisy, given his long anti-union record and continuous efforts to delay the implementation of the government's major investment tax credits, which are essential to securing Canada's auto sector's competitiveness," Katherine Cuplinskas, Freeland's deputy director of communications, said in an email.

Cuplinskas said Friday that Freeland "has been clear that action is necessary" and that a decision based on her consultations will be made "soon."

On Friday, Polievre also took aim at the government's rebate policy, introduced to encourage Canadians to switch to EVs. The government offers rebates up to $5,000 to those who buy or lease an EV.

"[Trudeau] is giving out rebates for people to buy Chinese-made cars," Polievre said.

While China is not the biggest supplier of cars to the Canadian market, Freeland's consultations did include discussions about adjusting the federal rebate program.

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