The Decibel podcast

What Carney’s China trade deal means for EVs in Canada

22.1.2026
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As part of Canada’s new trade deal with China, 49,000 Chinese-manufactured electric vehicles will be allowed to be sold in the Canadian market this year. It’s a big change from our previous 100 per cent tariff on Chinese-made cars. Auto leaders and Ontario Premier Doug Ford have criticized the deal, saying it puts the country’s auto sector at risk when it’s already facing pressure from the U.S. and Donald Trump’s tariffs.

Dimitry Anastakis is a professor at the University of Toronto in the Department of History and the Rotman School of Management, and his research focuses on the development of the Canadian auto industry. He analyzes what this deal means for jobs in the auto sector, how it could affect Canadians looking to buy EVs and what it could mean for renegotiating the USMCA.

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