Canadian consumers are significantly more open to purchasing Chinese-made EVs than their American counterparts, new polling data reveals — a month after PM Mark Carney signed a trade deal with Beijing allowing up to 49,000 EVs at a 6.1% tariff rate.
The widening gap in attitudes toward Beijing’s automakers as the two neighbors take diverging paths on trade policy.
More than half (53%) of Canadians surveyed said a vehicle’s Chinese origin would not affect their buying decision, according to Nanos Research Group polling for Bloomberg.
South of the border, sentiment runs in the opposite direction.
A majority (54%) of potential American EV buyers expressed unfavorable views of Chinese car brands in a separate survey by EVs for All America — an advocacy group that works with automakers to push US lawmakers to adopt EV-friendly policies.
Canada struck a deal with Beijing in mid-January allowing up to 49,000 Chinese-built electric vehicles into the country at sharply reduced tariff rates — to 6.1% from the 100% imposed in 2024.
The United States maintains prohibitive 100% duties on Chinese EVs and has introduced rules banning Chinese and Russian software and hardware in connected vehicles, citing national security concerns over data collection and potential remote access to vehicle systems.
The restrictions effectively shut Chinese automakers out of the American market.
A Foothold in North America
Under the agreement announced during Prime Minister Mark Carney’s January state visit to Beijing, Chinese EV imports will be capped at 49,000 units annually — rising to 70,000 by the fifth year.
Ottawa had imposed 100% duties in 2024, citing concerns over state-subsidized overcapacity.
Carney’s government said the quota amounts to less than 3% of Canada’s annual new vehicle sales and requires that more than half of imports be priced below C$35,000 by 2030, targeting affordable options for Canadian consumers.
The arrangement could offer Chinese automakers their first meaningful access to North American consumers.
BYD Co., which overtook Tesla as the world’s top-selling EV maker in 2025, has set a target of 1.3 million overseas sales this year but remains locked out of the American market.
Chinese Brands in Canada
China’s largest EV makers have yet to reveal concrete plans for Canada despite the new trade deal, as EV reported in late January.
BYD, the world’s largest EV maker, declined to discuss its intentions for the Canadian market. “We sincerely apologize, but we are unable to share specific details on this matter at this time,” the company said.
BYD has been operating in Canada since 2013, when it opened a factory in Ontario to assemble commercial vehicles, and was reported to be exploring passenger vehicle entry in July 2024.
XPeng, which is present across 60 markets worldwide and exported more than 40,000 vehicles in 2025, also declined to comment on Canada expansion plans.
Li Auto told EV it is focused on other regions.
The carmaker has entered Uzbekistan, Egypt, Kazakhstan, and Azerbaijan, and plans to deepen its presence in Central Asia in 2026 while expanding into the Middle East and Europe — with no mention of Canada or the Americas.
Washington’s Mixed Signals
The deal has exposed divisions within the Trump administration.
President Donald Trump initially voiced support for the agreement, telling reporters at the White House that Canada was right to pursue it.
Hours earlier, his trade representative had publicly criticized the arrangement.
Within days, Trump changed course.
In a social media post, he warned that Canada risked becoming a transit point for Chinese goods entering the United States and threatened sweeping tariffs in response.
“China will eat Canada alive, completely devour it, including the destruction of their businesses, social fabric, and general way of life,” Trump wrote.
Carney rejected suggestions that the deal violated North American trade commitments, emphasizing that Canada has no plans to pursue a broader free trade agreement with Beijing.
Beijing Responds
China’s Foreign Ministry said last week that the deal is not intended to target or affect any other nation, responding to Trump’s threats.
“China and Canada are building a new type of strategic partnership, reflecting the principles of equality, openness, inclusiveness, peaceful cooperation, and mutual benefit,” spokesperson Lin Jian said.
The agreement allows for the annual import of 49,000 Chinese EVs in exchange for lower duties on Canadian agricultural products, which Lin said “aligns with the common interests of both peoples.”
Domestic Opposition
The agreement has also faced resistance within Canada.
Ontario Premier Doug Ford warned that allowing Chinese vehicles into the country poses security risks, while the country’s largest private-sector union said Ottawa had weakened its leverage in ongoing disputes with Washington over auto tariffs.
“Finding a resolution to US auto tariffs just got more difficult as Canada has surrendered the leverage of opening our market to China,” Unifor National President Lana Payne said.
American consumers hoping to sidestep US restrictions by purchasing Chinese EVs in Canada would face significant obstacles.
Federal regulations require imported vehicles to undergo an extensive customs process demonstrating compliance with US safety standards.
Tesla in Canada
While Canada prepares to receive the first batch of Chinese EVs, Tesla looks to turn around its sales in 2026.
Registration data compiled by DrivenTeslaCanada from multiple industry sources showed Tesla delivered between 18,300 and 20,000 vehicles in Canada last year, down from roughly 55,000 in 2024.
DesRosiers Automotive Consultants, an auto industry data firm, confirmed the decline exceeded 60%.
