Good news for leading automakers such as Tesla (TSLA), General Motors (GM), and the Ford Motor Co. (F). Canada’s government is launching a new electric vehicle consumer rebate program to spur sales.
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In an effort make electric vehicles more affordable and encourage sales, Canada’s government is launching a new five-year $2.3 billion EV affordability program. Individuals and businesses that purchase or lease an electric vehicle will be eligible to receive rebates of up to $5,000 for battery electric vehicles, and $2,500 for plug-in gas-electric hybrid models.
As part of the new strategy, the Canadian government is also canceling a previous mandate that aimed to have electric vehicles account for 100% of auto sales within Canada by 2035. Instead, the government is trying an approach that will tangle a carrot in front of consumers to encourage them to buy an electric vehicle.