BYD Eyes Canadian Market Entry Amid Tariff Discussions

As BYD is expanding across the globe with its affordable electric vehicles (EVs), the company is making strategic moves to enter the Canadian market as it seeks to strengthen its foothold in North America.

Despite ongoing discussions about tariffs on Chinese EVs in Canada, it is revealed that BYD has employed lobbyists to “advise on matters related to the expected market entry of BYD into Canada for the sale of passenger electric vehicles,” according to Automotive News through recently filed regulatory documents.

Furthermore, BYD is working with Crestview Strategies, a Toronto-based public affairs firm, to navigate the Canadian market landscape. While the company has not officially announced its plans, it is indicated that it has already met with Canadian dealers to discuss the possibility of establishing local dealerships.

As for BYD’s venture into the North American market, the company’s growing presence in Mexico was noted as it recently launched its first pickup truck, the Shark plug-in hybrid electric vehicle (PHEV), and is reportedly close to finalizing a deal to build a manufacturing plant.

Canada’s Potential Tariffs On Chinese EVs

The timing of BYD’s potential Canadian entry is interesting, as it coincides with ongoing discussions about imposing tariffs on Chinese EVs. In June, Canada opened a month-long public consultation period to consider its response to what it views as China’s “unfair support for the EV sector,” where the government expressed concerns that unchecked imports could adversely affect planned EV investments and the transformation of Canada’s automotive landscape.

Read More: Canada Moves Toward Tariffs On Chinese EVs With 30-Day Consultation Period

Despite the potential hurdles posed by tariffs, BYD appears undeterred in its North American expansion plans despite already being hit with United States (U.S.) new tariff rates on Chinese EVs. Although the company has already made major inroads in Mexico by delivering its first batch of 100 Yuan Plus models last June.

As BYD explores its options in Canada, the outcome of the tariff discussions will play a crucial role in shaping the company’s strategy. With the potential entry of BYD into the Canadian market, the impact will be taken notice as a higher competitive landscape will inevitably arrive through BYD’s affordable EVs.

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