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Canada’s 100% EV Target Faces Setback Due to Low Demand

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Canada’s 100% EV Target Faces Setback Due to Low Demand

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Canadian Prime Minister Justin Trudeau’s plan to phase out gas-powered cars in favor of 100% Electric Vehicles (EVs) by 2035 has faced skepticism from auto executives, who argue that consumers are not willing to make the switch. Toyota Motor and Honda Motor executives stated that the government’s goal is unrealistic, given that consumers prioritize reliability and range, especially for long-distance driving and in freezing temperatures.

“The government can only do so much to entice consumers to purchase vehicles that they would like to see implemented. Consumers will choose what they need,” emphasized an auto executive.

Honda Canada CEO Jean Marc Leclerc echoed similar sentiments, saying that “There’s a lot of things that need to fall into place to give people the confidence to make the transition” to EVs.

In Canada, like the United States, EVs account for a small fraction of new car sales, with only 11% of new cars sold last year being EVs. Meanwhile, over 1.3 million gas-powered cars were sold in Canada, making up the vast majority of cars sold.

The skepticism surrounding EV mandates has also been echoed in the United States, where President Joe Biden’s plans to require nearly 7-in-10 new cars sold to be EVs by 2032 have faced backlash. Polls have shown that the proposed regulations are widely unpopular among Americans.

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