Electric vehicles | Teslas $9,000 more expensive from February… in addition to the end of incentives

Canadians are anxious. There is still this fear of a famous 25% tax on imports of Canadian products into the United States from 1^is FEBRUARY. And there, suddenly, arises this possible increase of $9,000 in the price of Tesla vehicles, for the 1^is FEBRUARY. In addition to the end of government purchasing incentives, which also totaled… $9,000.

According to information taken from Tesla’s Canadian website and taken up by several sites during the night from Wednesday to Thursday, the price of the Model 3, the most affordable and by far the best-selling sedan in the manufacturer’s range led by the billionaire Elon Musk, would increase by CAN$9,000 from 1^is February 2025. The Model Y, the wagon derived from the same platform as the Model 3, would see its base price increase by $4,000, just like the Model S and Model X, larger vehicles.

This price increase is in addition to the abandonment, possibly definitive, of federal purchasing assistance on electric vehicles, which amounted to $5,000 on the retail price of eligible vehicles. In Quebec, purchasing assistance, reduced to $4,000 in 2025, is also on ice, at least until April, the Legault government announced before the holidays.

“They won’t sell any more!” »

Tesla does not explain this sudden increase in its sales prices in Canada. There is also no indication of a similar price increase elsewhere in the world, including in the United States, where the vehicles that Tesla sells in Canada are also assembled.

Copies of the Model 3 assembled at its Shanghai factory were sold here for a few months, before Ottawa imitated a gesture made by Washington a few weeks earlier and imposed, last August, a surcharge of 100 % on electric vehicles imported from China.

Tesla does not have an internal person responsible for communicating with the media, and did not respond to questions from The Press.

At the Association of Electric Vehicles of Quebec (AVEQ), president Frédéric Allard indicates that his contacts within Tesla Canada confirm to him that this increase in the retail price of vehicles sold in Canada is “independent” of the end of the measures. government incentives applicable to the purchase of certain Tesla models. This could be an effect of the fall in the value of the Canadian dollar compared to the American dollar, he said.

« [C’est une] coincidence that the maximum increase matches the amount of subsidies,” he told The Press.

This price increase is the second already in 2025 for Tesla, which had already added around $2,000 to the price of some of its models from 1^is last January. All this put together, electric vehicles sold by Tesla in Canada will become much less popular, especially the Model 3 and Model Y, the most affordable.

“By raising prices like that, they won’t sell any more!” », exclaims Frédéric Allard.

Tesla is led by Elon Musk, who over the fall became a close advisor to US President Donald Trump. He was in favor of Washington imposing a 25% tax on imports from Canada.

Towards a price adjustment?

Other manufacturers have taken the opposite approach in recent weeks by reducing the retail price of their electrified vehicles sold in Canada. This was seen as a necessary reaction to compensate for the end of federal purchasing assistance, which appears definitive, given the instability of the Trudeau government and the possibility of spring federal elections.

The Quebec government, for its part, suggested that its purchasing assistance would return in April, which explains why most auto manufacturers did not react.

“They are not going to lower their prices for two months,” says Frédéric Allard. Although it is certain that people will wait until April before buying a new electric vehicle. »

Subsequently, no doubt the market will adjust according to the level of incentive measures, whatever they may be, believes the president of AVEQ. “It won’t happen overnight, but it’s what makes the most sense.” »