Canada is moving forward with regulations that will require all new vehicles sold in 2035 to be powered by electricity, according to draft regulations unveiled by the government. The proposed rules, which align with measures introduced in California and 10 other U.S. states, aim to gradually increase the share of electric vehicle (EV) sales over a nine-year period. By 2026, at least 20% of all auto sales in Canada should be electric, followed by a target of at least 60% by 2030. The ultimate goal is for all new vehicle sales in 2035 to be electric.

Transportation currently accounts for 22% of Canadian greenhouse gas emissions, and this transition to electric vehicles is seen as a pivotal step toward meeting Canada's climate commitments. Prime Minister Justin Trudeau has emphasized the importance of reducing fossil fuel consumption in his policy agenda.

While the government's plan has been applauded by environmentalists, Canadian-based automakers express concerns about the feasibility of achieving these targets without substantial investment in EV charging infrastructure and addressing affordability issues for households. Brian Kingston, CEO of the Canadian Vehicle Manufacturers' Association, warns that regulating vehicle sales could further strain the cost of living for Canadians.

By pushing for a complete shift to electric vehicles, Canada aims to fulfill its climate goals and contribute to reducing global greenhouse gas emissions.

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