The Globe and Mail reports in its Thursday edition that Chinese-made cars are likely to speed Canada along the path toward $35,000 electric vehicles. The Globe's Erica Alini writes that Canada's recent trade deal with Beijing will allow an initial 49,000 Chinese-made EVs into the Canadian market with a tariff rate of 6.1 per cent. The import ceiling will rise gradually every year, reaching 70,000 in five years. The deal earmarks part of the quota for EVs with price tags of $35,000 or less. By 2030, those low-cost vehicles will account for half of China's allotment. The quota is too small to translate into a cheap-car bonanza for Canadian car shoppers. But it is likely to increase competition among automakers, in China and elsewhere, to make $35,000 EVs for the Canadian market. The first Chinese-made vehicles to reach the Canadian market will be those made by Western carmakers with Chinese production lines, chief among them, Tesla, said Daniel Ross at Canadian Black Book. Elon Musk's EV behemoth, along with Volvo and Buick, are already set up to make vehicles that meet Canada's safety, environmental and technical standards. Chinese carmakers such as BYD, Nio and Chery will have some adapting to do, which will take time.
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