Exclusive-China’s Geely to ship first Lotus EVs to Canada in July under Carney-Xi deal, ambassador says
Written by: Promit Mukherjee and Maria Cheng
OTTAWA, June 26 (Reuters) – Geely Holding Group’s Lotus brand electric vehicles will arrive in Canada next month under an agreement between Prime Minister Mark Carney and Chinese President Xi Jinping, Chinese Ambassador to Canada Wang Di told Reuters on Friday.
These will be the first Chinese-owned and produced vehicles to be offered for sale under an agreement that allows up to 49,000 Chinese EVs annually to enter Canada at a reduced tariff rate as Carney seeks to diversify Canada’s trade away from the United States.
“Geely EVs will arrive in Canada next month and they will hold a ceremony when the cars are delivered in Montreal,” Wang said.
Lotus Cars did not immediately respond to a request for comment. Canada’s Global Affairs department could not immediately comment on the expected arrival of the first cars.
Other Chinese brands, such as Chery and BYD, are cooperating with Canadian government agencies to complete the necessary steps before shipping to Canada, Wang said. Canadian officials have previously said some vehicles arrived earlier so companies could test them in Canadian conditions.
“Hopefully in the fall of this year, other Chinese brand EVs will actually complete the procedures and enter the Canadian market,” Wang said through a translator.
BYD Executive Vice President Stella Li recently told Reuters that the company will likely start sales next year. US-based Tesla had already imported Chinese-made vehicles to Canada.
Canada also aims to attract joint ventures and investments into the country’s electric vehicle supply chain.
Wang said Chinese EV manufacturers are interested in establishing joint ventures, but will first focus on increasing sales and gauging market demand.
Carney’s decision to allow electric vehicle imports from China was criticized by some US officials and lawmakers.
TRADE IS EXPECTED TO INCREASE
During his visit to China in January, Carney also said Canada would seek to increase its exports to China by 50% by 2030.
However, Chinese Foreign Minister Wang Yi said last month that exports could increase by 100%.
To double Canada’s exports to China, it needs to increase by about 15 percent annually for the next five years, Wang said, adding that Canadian exports have already increased by 27.5 percent in the five months since Carney’s visit.
“As we move forward, our economic and trade cooperation continues to unlock the potential in our economies and leverage the complementarities that we have. I think we can maybe go beyond 100%, maybe get to 200%.” he said.
