With 41.400.000 inhabitants, another country reduces its electricity targets for 2035 and sets 75% sales as the goal instead of 100%.
06/09/2026 14:30
Updated to
06/09/2026 14:30
At the beginning of the decade, or even earlier, many countries and regions around the world announced ambitious plans to fully electrify their vehicle fleets. Although electric car sales have grown over these years, they have not done so at the expected pace. Only a handful of countries such as China or Norway are meeting their targets. On the contrary, most are failing to achieve the desired level of electrification, which in turn forces them to lower their environmental goals. Europe was the first region to take action, albeit somewhat cautiously, and now another North American country is joining in.
The Canadian government has decided to eliminate the mandatory registration quota for zero-emission vehicles that required 100% of sales to be emission-free by 2035. This regulation was approved in 2021. Instead, the executive branch has set a new government target of 75% market share for electric cars by the same deadline. This change is aimed at aligning the pace of adoption with the actual capabilities of the automotive industry and the development of charging networks. The removal of this binding requirement temporarily leaves the automotive sector without a fully defined alternative regulation.
A adjustment to development timelines
The new 75% target represents a pragmatic adjustment to the original 100% requirement. Various industry analysts believe lowering this threshold prevents brands from committing to rigid investments for a full decade, allowing them to adjust electric vehicle production based on actual market demand. Unlike its neighbor United States, Canada has attracted Chinese investors. Although the presence of Chinese electric vehicles in the country remains minimal, it can follow in Europe’s footsteps.
At the same time, industry representatives say that new technical regulations must be published quickly and maintain a sufficiently high level of ambition. The industry needs certainty to plan its assembly lines, component supply, and the integration of electric drivetrains into commercial catalogs. The harsh weather conditions that prevail in much of Canada throughout the year make widespread adoption of electric vehicles more complicated.
Coexistence of Electric Vehicles and Emission Reduction
The elimination of the mandate opens the door to a longer coexistence among different propulsion systems. By not restricting the market absolutely to purely electric vehicles, manufacturers will be able to continue developing hybrid solutions and highly efficient thermal engines to meet the needs of users in geographic areas with lower charging infrastructure density. Experts warn that removing the mandatory quota alone does not solve the challenge of global emissions from the vehicle fleet. The new regulatory framework must determine how various mechanical technologies will be evaluated to encourage the remaining quota to continue effectively reducing its carbon footprint.
The goal of the EVAS program (Electric Vehicle Availability Standard) would have required automakers to increase the proportion of zero-emission vehicles in their sales to 20% by 2026, 60% by 2030, and 100% by 2035. According to the government statement, the regulation, along with its additional tariffs, would have significantly worsened manufacturers’ financial situation and put the country’s assembly plants and supply chains at risk. The Canadian auto industry had opposed the quota for years and therefore welcomed the decision.
Demand problems, not supply problems
Brian Kingston, president of the Canadian Automobile Manufacturers Association, has pointed to sales figures as proof that the low adoption of electric vehicles was due to a lack of demand, not a shortage of supply. “The experience with mandatory registration for electric vehicles should teach us a lesson: targets cannot be set without considering real market data and realistic demand expectations.” The proportion of zero-emission cars in new registrations rose to 14.6% in 2024, but dropped to 9.5% in 2025 after subsidy programs expired. In the first quarter of 2026, the figure was 10.8%.