August 9, 2024: Canada’s largest private sector union, Unifor, has called on the federal government to impose tariffs on all Chinese-made EVs, batteries and related components. This will bring Canada in line with measures already proposed by the US and comes as BYD, the Chinese EV and battery giant, is reportedly looking at entering the Canadian market.
The comments appear in a 26-page submission that Unifor made to the federal government on August 1, the last day of a month-long public consultation process on how to respond to what deputy prime minister Chrystia Freeland called “anticompetitive” practices by China’s EV sector.
A statement from the union said that the US and the EU had ‘responded proactively’ to the threat posed by ‘unfair imports’.
“Today, China presents the most immediate threat to the development of Canada’s homegrown (zero-emission vehicle) supply chain and auto-sector redevelopment ambitions,” Unifor said.
“Canada has everything we need to build the electric vehicles of the future in our own backyard, including a highly skilled workforce, deep roots in auto manufacturing, and the critical minerals needed to supply the industry.”
Mirroring America’s hardline approach, Unifor has demanded that Ottawa impose a surtax above the existing tariff rates of 100% on Chinese-made electric vehicles, and a surtax of 25% on batteries, as well as tariffs on electric motors and battery cell materials.
The US has imposed steep penalties on a number of China-made products. The highest tariff of 100% was placed on EVs made in China. Last month, the EU imposed tariffs on China-made EV imports, which went as high as 38%.
But even as Canada examines possible tariffs, Asian powerhouse, BYD, one of the world’s biggest EV manufacturers, is looking to enter the Canadian automotive market, according to a regulatory document filed in July.
Canadian media has reported that the Shenzhen-based automaker met recently with dealers that would distribute for the company in plans to begin selling passenger EVs in Canada.
