Canada slashes 100% tariffs on Chinese EVs to 6%

Original Article ↗ Hacker News Discussion ↗

Scope and Scale of the Deal

  • Tariff cut applies to a quota of ~49,000 Chinese EVs/year (rising to 70k), at ~6% instead of ~100%.
  • Commenters note this is small vs ~2M annual Canadian vehicle sales, but large relative to current EV volumes (roughly ~1/4 of annual EV sales if fully used).
  • Several see this as a “0→1” geopolitical move: modest in quantity, huge as a precedent and signal of policy divergence from the US.

Geopolitics: Canada Between US and China

  • Many frame this as Canada reacting to US hostility: threats to Canadian auto, Venezuela/Greenland actions, annexation rhetoric, and general unpredictability under Trump.
  • Some argue Canada previously mirrored US China-tariff policy largely out of deference to US/Detroit; that logic has eroded.
  • Others worry this implies greater trust in China despite human-rights and security issues, and see it as shortsighted “lawful evil over chaotic evil.”
  • A recurring thread: allies are recalculating dependence on the US; some predict broader “strategic autonomy” and more China/EU alignment.

Impact on Auto Industry and Jobs

  • Strong concern that cheap Chinese EVs will accelerate decline of North American legacy automakers, especially in Ontario.
  • Others respond that Big Three (US/Canada) chose rent-seeking and oversized ICE trucks over serious EV investment and deserve the pressure.
  • Some see this as Canada deliberately shifting support from auto to energy/ag exports, helped by Chinese cuts on Canadian agricultural tariffs.

Chinese EVs: Price, Quality, and Tech

  • Multiple commenters say Chinese EVs (BYD, Xiaomi, etc.) are already competitive or superior in features, battery tech, and price; others distrust Chinese build quality based on older ICE experiences.
  • Debate over how much of the price edge is subsidies vs structural efficiency and automation; comparisons made to US/EU corporate financialization and underinvestment.

Climate and Transport Tradeoffs

  • Pro‑EV commenters emphasize lifecycle emissions benefits and China’s role in displacing oil demand; skeptics raise externalities of Chinese production and argue better transit/no-car solutions.
  • Cold‑climate performance is discussed: some Canadian EV owners report excellent winter drivability; range loss is acknowledged but seen as manageable for regional use and two‑car households.

Security, Data, and US Backdoor Concerns

  • Some predict “no‑drive zones” for Chinese EVs around sensitive facilities, analogizing to DJI drone bans.
  • Many ask whether Americans could buy Chinese EVs via Canada/Mexico; knowledgeable replies stress US safety homologation, import duties, and registration rules make permanent use effectively impossible today.