On May 17, according to CNBC, after Canada opened up the import of Chinese electric vehicles, some Canadian dealers were eager to sell Chinese electric vehicles. Michael MacGillivray manages 10 car dealerships in Nova Scotia and New Brunswick, Canada. He believes that the entry of Chinese electric vehicles into the Canadian market may change the industry structure.
Chinese electric cars coming to Canada
"I think it's going to be an eye-opener for people," McGillivray said.
Dealers seek agents
As CEO of Century Auto Group and Sigma Automotive Group, McGillivray is working hard to become one of Canada's dealers selling imported Chinese electric vehicles. In April, he attended the Beijing Auto Show with other Canadian dealers to network with Chinese automakers and get a hands-on experience with sedans and SUVs that might be exported to Canada in the future.
"When I was in China, I was very impressed by Chinese cars," he said. "They use first-class materials. The exterior design is amazing. The driving experience is also excellent."
Canada now allows the import of 49,000 Chinese electric vehicles per year and enjoys a 6.1% most-favored-nation tariff. The number of quotas will increase year by year according to a certain proportion.
Lower tariffs on electric vehicles have convinced Chinese automakers that it's time to set up dealerships in Canada.
"We have received inquiries from nearly 400 different dealers across Canada, and they have all shown great interest and expectations in representing these Chinese brands." said Farid Ahmad, CEO of DSMA, a car dealer brokerage company in suburban Toronto.
Ahmed is helping dealers connect with Chinese automakers such as BYD, Geely and Chery. "I think from the perspective of Chinese manufacturers, this allows them to gain a foothold in the North American market." He said.
Canadian car brand share
The top-selling car brands in Canada are General Motors, Ford, Toyota and Hyundai, according to S&P Global. Last year, the Canadian auto industry sold more than 1.9 million vehicles, slightly more than California's auto sales in all of 2025.
Car owners are eager to try
On the streets of Canada, people told CNBC they were curious about Chinese electric vehicles and eager for the chance to buy one.
"I think they're going to reshape the market in a positive way," said Canadian Patrick Hunt.
"This will definitely bring more opportunities and give people more choices to choose different models," said Canadian Daniel Haim. "I think the current trend in oil prices is beneficial to any Chinese manufacturer entering the Canadian market, especially electric vehicle companies."
However, not everyone is in favor of Canada allowing the sale of electric vehicles imported from China. The Canadian Automobile Manufacturers Association stated,The decision to allow the sale of Chinese-made electric cars is deeply concerning.
Canada has limited the sales of Chinese electric vehicles that enjoy low tariff treatment to only 49,000 units. This is a way for the Canadian government to set up "safety guardrails" to allow Chinese car companies to enter the domestic auto market.
"They are quite cautious about the scale of release," said Michael Robinet, vice president of forecast strategy at S&P Global Mobility, an automotive industry consulting firm. "A market share of 3% to 5% is considerable, but it is not enough to significantly change the competitive landscape."