Car Industry Angered As Canada Sets 2035 No-Emissions Target

A zero-emission vehicle (ZEV) standard for all cars, SUVs, and light trucks sold in Canada by 2035 was finalized on December 19th as part of the country’s comprehensive strategy to fight “climate change.”

By 2026, zero-emission vehicles must account for 20% of the market; by 2030, that number must rise to 60%. According to industry authorities, the percentage of new cars sold that were electric vehicles (EVs) in the 3rd quarter of 2023 was 12.1%.

According to Environment Minister Steven Guilbeault, the industry now has the confidence it needs to handle the problem of a restricted supply of EVs.

Even though electric vehicle sales in Canada hit a record high this year, the industry must double that number over the next three years to meet a new legal mandate.

Transportation is responsible for 22% of Canada’s greenhouse gas emissions.

All new car sales in 2035 must consist of plug-in hybrids, hydrogen fuel cell vehicles, or electric vehicles.

According to the International Energy Agency in Paris, electric vehicle sales will increase from 13% of the worldwide market in 2016 to 40%-45% by the end of the decade.

Among electric vehicles sold in Canada in 2022, 36.7% were sold by Tesla, with Hyundai following at 11.1%.

The Canadian auto industry claims the regulations are too stringent because of the high price of electric vehicles. The report notes that charging infrastructure is lacking in rural areas. A mere 40 million people call the world’s second-biggest country home.

The president of the Canadian Vehicle Manufacturers’ Association, Brian Kingston, has said that to boost sales of zero-emission vehicles (ZEVs), more grid capacity, widespread charging infrastructure, favorable market conditions, and financial incentives for consumers are necessary.

Although installing EV charging stations in public spaces and apartment complexes is a priority for the Canadian government, industry watchers are concerned that this won’t be enough to spur widespread use of EVs.

A leading watchdog has found flaws in Prime Minister Justin Trudeau’s plan and said that Canada has failed to meet all of its carbon reduction targets.