One of the main arguments for putting a whopping 100% tariff on Chinese EVs was to protect Canadian auto-jobs. The reality is more complex, as relatively few auto-sector jobs are found in car manufacturing, with the vast majority working away on aftermarket service and dealership networks.
According to the Canadian government (source), the auto-industry employs 117 200 people, with further 371 400 working on aftermarket support and dealerships. That’s 488 600 Canadians, that’s a lot of jobs, for a pillar of the Canadian economy adding a whopping 12.5 Billion to Canada’s GDP.
Look closely, in particular, that more Canadians work in dealerships and aftermarket support, indeed of the 488 600 Canadians who work directly in the sector, only 24% work on manufacturing the cars themselves, with the remaining 76% working on selling the cars and servicing them.
Thus, it seems to me, that the 100 % tariff on Chinese EVs is really there for the 24 %, not the 76 %, as electric cars need to be sold just as well as gas cars. While their service needs are less, they still need winter tires, brakes and other care. Indeed, 80% of Canadians use winter tires, I put some on my Leaf, and I have spent a fair bit of money on servicing my Leaf, both at a local garage and the nearby Nissan Dealership, to such an extent that I am on a first name basis with some of the dealership staff.
Just like Honda in the 1980s, BYD might be looking at Canada for North American manufacturing operations (source), while nothing will happen for the next three years, owning to the uncertainty with our southern neighbour, a re-negotiated NAFTA (or CUSMA) trade agreement might open the door for the Chinese.
Electric car adventures 