Tesla Model 3 Drives Canadian EV Rebate Program to Record Highs

Tesla’s Model 3 sales have significantly contributed to the record-breaking performance of Canada’s Incentives for Zero-Emission Vehicles (iZEV) program in June.

Texas-based Tesla delivered 4,096 qualifying Model 3s to Canadian customers during the month, making up nearly a third of eligible zero-emission vehicles (ZEVs) delivered. In second place was the Chevy Bolt EUV at 939, followed by the VW ID.4 at 670. Tesla’s deliveries are blowing past traditional automakers.

Model 3 sales have been instrumental in the success of the iZEV program, which provides a $5,000 CAD ($3,800 USD) rebate for battery-electric vehicles (BEVs) and plug-in hybrid vehicles (PHEVs) with an electric range greater than 49 kilometers. PHEVs with less electric range qualify for a $2,500 CAD rebate.

While Tesla led the pack, other brands also posted strong performances in June. Hyundai, Chevrolet, and Toyota each delivered over 1,000 eligible battery-electric and plug-in hybrid vehicles. In total, 12,765 qualifying deliveries were made in June, marking the third new monthly record for the iZEV program this year, reports Auto News Canada.

The accelerated pace of ZEV purchases has put Canada on track to significantly surpass its iZEV tally from 2022. In the first six months of 2023 alone, the rebate program has supported the purchase of 47,521 ZEVs, compared to a full-year figure of 57,551 in 2022.

Tesla led the way big time in June with 4,099 iZEV incentives, followed by Hyundai with 1,427, and Chevrolet with 1,132. In terms of provinces, Quebec accounted for roughly half of all qualifying deliveries, while Ontario saw a surge in shipments during the month.

Update: Given how the Model Y RWD and Model Y Long Range also qualified for iZEV incentives recently, the number at just 3 Model Y vehicles seems to be an accounting error from the sounds of it.

Year to date, Tesla has 8,105 iZEV incentives claimed, with Hyundai in second at 6,249 and Chevrolet in third at 5,797.

The record-breaking performance of the iZEV program in June, driven by strong sales of Tesla’s Model 3, underscores the growing popularity of zero-emission vehicles in Canada. The program’s success is a positive sign for the country’s efforts to reduce greenhouse gas emissions and transition to a more sustainable transportation sector.