Tesla has increased the price of the Model 3 and Model Y in Canada, ending its eligibility to qualify for the federal government’s $5,000 iZEV rebate.
The price increases are as follows for Model 3:
The price increases are as follows for Model Y:
The price increases end eligibility for the federal rebate, which sets a starting price cap of $55,000 for a sedan and $60,000 for an SUV. Canadians are now going to pay for a Tesla Model 3 and Model Y.
The federal government also announced this week that its iZEV funds are diminishing and will not be filled up again, and may end before March 31, 2025.
Besides the federal government, Quebec earlier announced it would suspend EV rebates from February and April in 2025, due to the program running out of funds. This will also affect those getting rebates to install EV chargers at home.
These price increases come ahead of the new Model Y refresh that was launched in Asia-Pacific. Canada, like the U.S., slapped tariffs on EVs made in China, which looks to affect Tesla vehicles made at its Gigafactory in Shanghai. Therefore, we will likely see Canadians get the new Model Y from Fremont, like the current Model 3.
