US EditionCarney announces new EV buyer incentives, scraps sales mandate
Prime Minister Mark Carney ends the EV sales mandate, introducing stricter emissions standards and $2.3 billion in rebates to encourage EV adoption and support the auto sector.
- On Feb. 5, 2026 Prime Minister Mark Carney in Vaughn, Ont. canceled the federal EV sales mandate and unveiled a national automotive strategy.
- Facing pressure from provinces and automakers, Carney paused the incremental sales targets last fall and ordered a review, leading to today's policy change.
- The government will replace the sales mandate with stronger greenhouse-gas emission standards and a credits system, drafting rules by year-end to pursue 75% EV adoption by 2035 and 90% by 2040.
- Beginning Feb. 16 the government reinstates consumer incentives with a $5,000 cash incentive for EVs and $2,500 for PHEVs, excluding vehicles from countries without free-trade agreements, including China.
- To shield jobs from U.S. tariffs, Carney earmarked CAN$3 billion to help the auto industry adapt and waived the price cap for Canadian-made vehicles like the Dodge Charger.
35 Articles
35 Articles
Carney scraps Canada EV sales mandate, but earmarks funds to aid transition
Canadian Prime Minister Mark Carney on Thursday scrapped a mandate for all vehicles sold in Canada to be electric by 2035, marking another retreat from emissions and climate-focused measures. At the same time, Carney also earmarked funds to bolster EV production in a bid to boost a Canadian auto industry hammered by US tariffs.
Watauga Democrat
Carney scraps Canada EV sales mandate
Prime Minister Mark Carney on Thursday cancelled a mandate for all vehicles sold in Canada to be electric by 2035, while announcing a multi-billion-dollar plan to support EV production.
The federal government is abandoning sales quotas, but its new plan should yield similar results, he argues.
Carney shakes up Canada's auto industry, replacing EV sales mandate with purchase rebates
Prime Minister Mark Carney is repealing Canada's electric vehicle mandate that set a target that all new vehicles in Canada must be electric in a decade. Instead, the government is introducing stronger greenhouse gas emission standards for vehicle models 2027-32 to encourage automakers to produce more zero-emission vehicles.
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