Jagmeet Singh Promises Incentives for Canadian-Made Electric Vehicles, Retaliation Against Trump Tariffs
NDP Leader Jagmeet Singh has unveiled a bold proposal aimed at reshaping Canada’s electric vehicle (EV) market, promising to impose 100% tariffs on Tesla vehicles while offering a $10,000 rebate for consumers who purchase Canadian-made electric cars.
Singh, speaking in Windsor, Ontario, emphasized that these measures are designed to boost domestic manufacturing and counter potential tariffs from U.S. President Donald Trump on Canadian goods.
“Elon Musk has been very loud and very vocal attacking our country. We’re not going to let that stand,” Singh stated. “If Trump wants to apply tariffs on Canada, we’re going to fight back by placing a 100% trade tax on Tesla products.”
Alongside the Tesla tariff, the NDP’s plan includes reinstating the federal EV rebate program—which the Liberal government recently paused—and doubling it to $10,000 for Canadian-made electric vehicles.
“We want to make it easier for Canadians to buy Canadian,” Singh said. “A car is one of the biggest purchases in a person’s life, and we need to make sure Canadians have real incentives to support our economy.”
Canada already imposes a 100% tariff on Chinese-made EVs, and Singh’s latest proposal aims to level the playing field by applying the same measure to Tesla.
The affordability of electric vehicles has been a growing concern, especially after the federal government paused its Incentives for Zero-Emission Vehicles (iZEV) program in January due to a surge in demand depleting available funds. The previous program offered up to $5,000 in rebates, while some provinces like Quebec and British Columbia continue to provide additional EV incentives.
With the entry-level EV market starting around $40,000 and luxury models exceeding $180,000, the NDP argues that the higher rebate is necessary to make clean vehicles more accessible.
Brian Masse, NDP critic for auto strategy and Canada-U.S. border relations, defended the proposed measures, arguing that Canada needs to take an aggressive stance against economic threats from the U.S.
“There’s no doubt Canadians are worried. We are worried as well, but we can’t sit around and wait,” Masse said.
With Trump’s tariffs looming, Singh’s proposed Tesla tax and expanded EV rebate program set the stage for a heated debate on Canada’s trade and economic policies as the federal election campaign gains momentum.