Canada is anticipated to declare that all new cars sold within the country must be zero-emission by 2035. Both Reuters and CBC News have indicated that an official announcement is expected on Tuesday, with a gradual transition. While full details will be disclosed soon, reports suggest that zero-emission vehicles should constitute 20% of new car sales in 2026, 60% in 2030, and reach 100% by 2035.
Notably, this directive doesn't seem to impose an outright ban on internal combustion engines initially, as plug-in hybrids will fall under the zero-emissions category, alongside electric and hydrogen-powered vehicles. According to CBC News, the regulations aim to ensure automakers produce affordable zero-emission vehicles to meet demand. Dubbed the Electric Vehicle Availability Standard, the rules will require automakers to earn credits demonstrating compliance with set targets.
Credits will be based on the sales of low- and zero-emission vehicles, with traditional zero-emission vehicles potentially earning more credits than plug-in hybrids. Additionally, automakers can accrue credits by enhancing Canada's charging infrastructure or purchase credits from those exceeding the requirements if they fall short in a given year.
Set to take effect in the 2026 model year, these rules, though ambitious, might face objections from automakers given the tight timeframe. The introduction of the Cadillac Vistiq, a 2026 model announced last week, adds to the urgency of compliance.