First Chinese EV Maker Confirms Plans to Launch in Canada

China’s third-largest electric vehicle (EV) manufacturer is officially the first to announce plans to enter the Canadian market, with Chery Automobile Co. aiming to be here by the end of the year.

While details were scant at the time of this writing, Chery — pronounced cherry — said it’s “likely” going to launch by the end of 2026 with “one or two models from a single brand.” In addition to Chery-badged vehicles, the company makes models under a number of other brands including Omoda and Jaecoo.

The news from Chery comes a few months after Prime Minister Mark Carney announced a reduction of the 100 per cent tariffs on Chinese EVs imposed by his predecessor, Justin Trudeau, in unison with the United States. Under the new agreement, as many as 49,000 Chinese-made EVs can be imported under a “most-favoured-nation” tariff rate of 6.1 per cent, with the number growing to 70,000 units over five years.

Last year, some 1.9 million passenger vehicles were sold in Canada. Less than 10 per cent of them were so-called zero-emission vehicles, which includes entirely electric vehicles and plug-in hybrids (PHEVs).

In an emailed response to questions from AutoTrader, Chery said it plans to sell its vehicles through conventional brick-and-mortar dealerships instead of the direct-to-consumer model used by the likes of fellow EV brands Tesla and Polestar, the latter of which is partially owned by Geely, another Chinese EV conglomerate. According to Chery, it plans to “start with a small number of dealers in key markets,” but its long-term plan includes stores nationwide.

The impending arrival of Chery and its compatriot companies isn’t without its detractors, with the Global Automakers of Canada (GAC) calling it cause for “cautious concern.” The lobby group, which represents the interests of car companies from Europe, Japan, and Korea, noted “potential impacts on Canadian consumers and the long-term stability of Canada’s automotive sector,” although it didn’t specify what those threats might be.