Motor Mouth: America’s rush to EVs might kill the entire Canadian auto parts business

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ICYMI: America’s rush to EVs might kill the entire Canadian auto parts business — via drivingdotca

“expand and modify the tax credit programs that encourage consumers to purchase electric vehicles. The proposed new consumer incentives would fully replace the current maximum refundable tax credit system” by:supplementing it with an additional US$4,500 for EVs with final assembly by unionized workers in the United States; and

adding an additional US$500 rebate for vehicles with 50 per cent of their battery components made in the U.S.Article content From 2022 to 2027, this means anyone buying a battery-powered EV would receive at least US$7,500 — and as much as US$12,500, if the battery and car are built in the U.S. More troubling — the death knell Volpe alluded to — is that, starting in 2027, this same bill proposes only vehicles with final assembly in the United States would qualify forpart of the program. In other words, after January 1, 2027, electric vehicles built in the U.S. would be eligible for US$12,500 in rebates; anyone buying an EV built anywhere else would receive nothing. Nada. Zip. Not a penny.

Parts of a Ford pre-production all-electric F-150 Lightning truck prototype are seen at the Rouge Electric Vehicle Center in Dearborn, Michigan, U.S. September 16, 2021.As unfair competitive practices go, Build Back Better’s EV program would seem an incentive with extreme prejudice. And, in fact, it may very well even be illegal and/or unenforceable. Under WTO rules as well as the recently organized USMCA pact , such incentives for locally built products might not pass muster.

 

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drivingdotca Biden's killing the world...why do you care about auto parts....you won't need them

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drivingdotca Good. This is the progress we want and need. These autoparts manufacturers need simply change to producing parts for EVs.

drivingdotca Not going EV will kill the Canadian Economy We would be wasting 60% of money spend to move people and goods by road. No other economy would be so kamikazi irrational.

drivingdotca Oh well I guess it’s time to be proactive instead of reactive, time to stop following and start leading, what are your thoughts on that ? The status quote will no longer keep canada relevant

drivingdotca That's kind of the whole point my dudes

drivingdotca Innovate or die. Tesla made their first battery powered car 10 years ago. Government needs to give incentives for companies to invest here and make EVs in Ontario. Last I checked, EVs work on the assembly line concept to.

drivingdotca Trudeau has really mucked this up. This is what happens when you rule with rainbows instead of planning and fundamentals.

drivingdotca It is almost like the world has been announcing a shift while particular Canadian politicians have been balking at any suggestion of progress or diversification.

drivingdotca That will definitely lower the carbonfootprint of the Ontario manufacturing sector and help Canada meet its targets. ClimateCrisis

drivingdotca Don’t worry, we have all those green energy jobs for them to transition too…right?!

drivingdotca Should have diversified

drivingdotca You will own nothing but you will be happy

drivingdotca Adapt or die, isn't that the capitalist motto?

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