Chinese EV Exports to Canada Rise Steadily, Yet Use Only 25% of Import Quota in H1

As of July 14, a total of 6,531 Chinese-made electric vehicles (EVs) have completed import customs clearance in Canada. This figure represents 25% of the 24,500-vehicle quota available for the first half of Canada’s 2026 quota cycle. Under the China-Canada tariff agreement, Canada has set an annual import quota of 49,000 Chinese EVs for 2026, with a maximum of 24,500 units allowed in the first half of the year; any unused portion can be carried over to the second half. The first batch of Chinese-made EVs arrived at Canadian ports in May 2024, followed by several thousand more between June and mid-July. Vehicles cleared for import so far primarily come from brands that have already established mature operations in the local market. Although Chinese automakers such as BYD, Chery, and Geely are actively expanding their retail presence in Canada and preparing for new model launches, they have not yet begun large-scale deliveries of their own branded vehicles. Canadian authorities have not disclosed brand-specific import figures. Industry estimates suggest that the majority of vehicles already landed are Tesla Model 3s produced at Tesla’s Gigafactory Shanghai. Additionally, Lotus—owned by Geely—began small-volume exports of its Eletre all-electric SUV to Canada in spring 2024, while Polestar plans to resume imports of the Polestar 2 in August. In terms of pricing, affordable models with import prices (excluding final retail markups) below CAD 35,001 account for 37% of the utilized quota. The two Shanghai-made Tesla Model 3 variants sold in Canada start at CAD 42,132 and CAD 52,632 respectively (including delivery fees). According to the agreement, by 2030, half of all Chinese EVs exported to Canada must meet this lower-price threshold, though no such requirement applies in 2026. During the first half of 2024, Global Affairs Canada allocated quotas on a “first-come, first-served” basis and plans to implement a new import management mechanism starting in September. The department solicited public feedback in April on a long-term quota management framework and originally intended to release detailed rules in June. However, as of now, no policy documents have been issued, nor has a new release date been announced. Under the agreement, Canada’s initial annual quota for Chinese EV imports in 2026 is set at 49,000 units, increasing by 6.5% annually thereafter, reaching 63,037 units by 2030.