From January 14 to 17, 2026, Canadian Prime Minister Carney was invited to pay an official visit to China. The two sides reached a broad consensus on deepening economic and trade cooperation, signed the China-Canada Roadmap for Economic and Trade Cooperation, and formed preliminary joint arrangements on handling bilateral economic and trade issues, including two new adjustments to import tariffs on electric vehicles and agricultural products.
Tariffs on electric vehicle imports from China were reduced to 6.1 percent
This includes a tariff quota agreement for electric vehicles from China. Specific details are below:
Canada will allow up to 49,000 Chinese electric vehicles per year to enter the Canadian market, which will be subject to a most-favored-nation (MFN) tariff rate of 6.1%.
This agreement marks the end of Canada’s policy of imposing a 100 percent tariff on Chinese electric vehicles in favor of a tariff quota system.
Canada says the quota is equivalent to the volume of Chinese EV exports to Canada before the trade friction in 2023-2024, which is about less than 3% of the Canadian new car market.
Canada said it expects that within three years, the agreement will facilitate the establishment of joint ventures by Chinese companies in Canada, promote the development of a local electric vehicle supply chain and, within five years, enable more than 50 percent of imported vehicles to become affordable electric vehicles with an import price of less than C$35,000, providing more low-cost options for Canadian consumers.
