- Tesla is upping its Canadian prices from $4,000 to $9,000 on February 1
- It had already increased its Model Y by $1,000 earlier in January
- No reason given, but the date coincides with the U.S. threat of 25% tariffs on Canadian products
Tesla is hiking its prices in Canada, adding an additional $4,000 on most models, though stretching that to $9,000 on the Model 3, effective February 1, 2025. The automaker hasn’t provided any explanation for the increase so far, although the timing does seem to tie in to U.S. president Donald Trump’s threat to slam a 25% tariff on goods coming across the border from Canada. That proposed action is facing push-back from the Canadian government, which has threatened possible retaliation with tariffs of its own; one should also remember Tesla CEO Elon Musk is definitely within the inner circle in the White House these days.
The price change wasn’t formally announced, which isn’t surprising, as Tesla no longer maintains a communications department and seldom issues press releases to media. Instead, it was quietly added to the Canadian consumer site, once visitors click on the “Order Now” tab for each model.
The extra $9,000 for the Model 3 will sit on top of its base price, before freight and fees, of $55,990. An additional $4,000 will be added to the Model Y, which starts at $60,990 — and which used to start at $59,990, before Tesla upped the base price by $1,000 earlier in January. The Model X and Model S will also add $4,000 to their shared base price of $110,990. The Cybertruck, which starts at $137,990, does not show an upcoming price difference; nor do any vehicle accessories, including home chargers and charging adapters.
In addition to its factories in California and Texas, Tesla also builds vehicles in Germany and in Shanghai, China — and that last one, which makes Model 3 and Model Y vehicles, along with their batteries, is believed to singlehandedly produce half of Tesla’s entire global output. That factory supplies the market in China and some European countries. While it’s not clear how many of those cars make their way to Canada and the U.S., Canada currently imposes a 100% tariff on electric vehicles coming from China — and that would include Tesla models built in Shanghai.
The Canadian government recently “paused” its $5,000 rebate on EVs; the program was set to expire at the end of March. Quebec will do the same starting on February 1, 2025 for at least a month. Its “green” rebate program is already winding down, having dropped from $7,000 to $4,000 at the beginning of this year; and with a further drop to $2,000 at the beginning of 2026, and then completely finished at the beginning of 2027.
In response to the federal halt to incentives, some automakers – including Nissan, Hyundai, General Motors, and Ford – said they will offer their own $5,000 rebates on qualifying vehicles until the end of January.
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