(By Observer Network, Zhang Jiadong; Editor: Gao Xin)

According to CBC News, as of February 4th local time, the Canadian federal government is preparing to announce a new national automotive strategy, which aims to make significant adjustments to the current regulatory framework for electric vehicles.

RCI Canada News

According to insiders, the Canadian government plans to abolish the current mandatory sales quota system for electric vehicles and establish a new standard system based on fuel efficiency and emission performance, accompanied by an integrated mechanism to replace the previous rigid targets based on sales ratios.

According to the framework of the new proposal, car manufacturers will be able to obtain regulatory credits by producing and selling electric vehicles, which can be used to offset overall emission and energy consumption requirements. Credits accumulated under the old system are also expected to be allowed to transfer into the new system for continued use.

The Canadian government had previously sought feedback from stakeholders on the revision of greenhouse gas emission regulations for passenger cars and light trucks. These regulations mainly set upper limits on vehicle pollutant emissions. Analysts said this adjustment direction is similar to the EU's reform path last year, which weakens mandatory sales targets and strengthens constraints on fuel efficiency and emission standards.

Meanwhile, sources said that supporting incentive policies are also being considered simultaneously. A subsidy program for consumers purchasing electric vehicles is expected to resume and may restart in a new form.

It is worth noting that the popular Canadian Zero-Emission Vehicle Incentive Program (iZEV), which offered up to 5,000 Canadian dollars (about 25,000 RMB) in subsidies for buyers, was suspended more than a year ago due to a surge in application demand and budget exhaustion. Additionally, the Canadian government plans to allocate funds to add more charging stations nationwide to alleviate the constraints on electric vehicle promotion caused by insufficient infrastructure.

Under the current regulations, electric vehicles are required to account for 60% of new car sales in Canada by 2030, and achieve full electrification of new car sales by 2035.

However, Prime Minister Trudeau, under pressure from industry executives, local provincial governments, and the Conservative Party, suspended the 2026 intermediate target in September last year, citing the impact of Trump's tariffs on the industry, and initiated a 60-day policy review process.

Recently, several Canadian cabinet ministers have continuously signaled that a new automotive strategy is about to be announced. Industry Minister Mélanie Joly stated that the new policy is crucial for alleviating the impact of American tariffs on the industry and stabilizing employment for Canadian auto workers.

With the U.S. government seeking to increase the number of U.S. automotive assembly jobs, and Trump himself clearly stating that his administration does not want to import cars from Canada, the long-term viability of Canada's automotive industry has been questioned.

The Canadian government's automotive industry plan aims to help the domestic automotive industry reduce its reliance on American automakers. After the U.S. tariffs were implemented, American automakers such as General Motors, Stellantis, and Ford reduced their investments in Canada, and their share of Canadian car production has been declining for years. According to calculations by the Trillium Network for Advanced Manufacturing, 77% of cars produced in Canada last year were made by Honda and Toyota.

Accompanying the policy adjustments, Trudeau recently stated that the Canadian government is open to Chinese companies assembling cars in Canada for the first time, but related cooperation will come with conditions, such as using Canadian domestic software or forming joint ventures with Canadian companies.

Canadian Transport Minister Steven Mackinnon did not confirm directly when asked whether the purchase subsidy would be restored, only stating that more details would soon be announced. Canadian Finance Minister François-Phillippe Champagn emphasized that although the policy tools may change, the government will still regard electrification as a long-term development direction for the transportation sector.

Former Canadian Environment Minister Steven Guilbeault said that technical adjustments could be made to the electric vehicle mandatory standards according to specific plans, but he opposed completely abolishing the previous targets. He believes that the standard not only relates to climate goals, but also directly affects air pollution control and public health benefits. Guilbeault also said that restoring electric vehicle purchase subsidies is a reasonable measure.

However, many foreign media believe that since the official implementation time of the new system has not yet been announced, it remains uncertain whether the Canadian government's policy adjustments will reach the level of the original mandatory sales quota.

This article is an exclusive piece from Observer Network. Unauthorized reproduction is prohibited.

Original: toutiao.com/article/7603626150715294262/

Statement: This article represents the views of the author.