Canada’s decision to reduce tariffs on Chinese-built electric vehicles from 100% to 6.1% has reopened the possibility of Volvo importing EVs from China, although regulatory and logistical considerations remain unresolved.
Volvo Cars Canada is actively evaluating the feasibility of bringing Chinese-manufactured EVs back into the Canadian market following the policy shift introduced by Prime Minister Mark Carney’s government.
Managing Director Matt Girgis confirmed to Electric Autonomy that the company is assessing several models, including the EX30 compact crossover, which was previously sourced from Volvo’s Zhangjiakou facility.
“The EX30 is still produced in China, same with other cars that we have,” Girgis told the outlet. “Some cars we sell in North America, some we don’t. Some are specific to the Chinese market.
But for us now, it’s about investigating the opportunity and seeing if there is something we can do there, if we should do so.”
Volvo currently manufactures three battery-electric vehicles in China: the EX30, the EX40, and the EM90 minivan. The company also produces plug-in hybrid and extended-range variants that are not presently available in Canada.
After Ottawa imposed 100% tariffs in 2024, production of EX30 models destined for Canada was shifted to Volvo’s plant in Ghent, Belgium.
Despite growing consumer openness toward Chinese-built EVs in Canada, Volvo has not made a final decision. Certification requirements and supply chain logistics represent key variables.
“We’re looking at everything right now,” Girgis said. “On one side, the cars have to be North American certified, right? So we need to make sure that they check that box.
And then, there’s a whole bunch of questions you need to answer around freight and logistics. Is it possible with the factory suppliers? All that kind of stuff. But the investigation is ongoing.”
Girgis also raised concerns about the limited clarity surrounding Ottawa’s broader policy direction.
Canada has established an annual import quota of 49,000 Chinese EVs, a figure that sits well above Volvo’s total Canadian sales of 14,500 vehicles in 2025.
However, the long-term intent of the quota remains unclear. “What does it mean?” he remarked. “What’s the end goal, is probably the bigger question, with 49,000 cars in an industry of two million.
It’s a small portion, but where do we go from here? How fast do we go? Who’s allowed to come in? … How does that process happen?”
On the wider EV policy landscape, Girgis expressed support for the reinstatement of consumer purchase incentives and the elimination of the Electric Vehicle Availability Standard.
At the same time, he emphasized the need for more detail regarding the forthcoming emissions framework. “We need the government to participate,” he stated.
“From that lens, I’m happy to see the announcements come back with some clarity on the mandates, with some reintroduction of the rebates and also with investment in charging infrastructure.
How it comes to life and the rules behind it are still a bit of a TBD. The punchline is: I think they’re on the right track, but clarification is needed on the details. Because they matter, right?”
As of now, BYD remains the only major Chinese automaker formally registered with Transport Canada to import passenger vehicles. Chery has also been identified as a potential early entrant under the revised tariff structure.
