VANCOUVER – Payments for Teslas under Canada’s electric vehicle rebate program have been frozen pending a government investigation into whether they’re valid.
Transport Minister Chrystia Freeland says in a statement that eligibility criteria for future incentive programs for zero-emission vehicles will be changed to ensure Teslas will not be eligible “so long as the illegitimate and illegal U.S. tariffs are imposed against Canada.”
Freeland says she made the order when she became minister earlier this month, but it is being publicized in the midst of a federal election where Canada’s relationship with the United States has become a central issue.
Tesla is run by U.S. presidential adviser Elon Musk.
Freeland says no payments will be made until the government is confident that the claims are valid.
The Toronto Star reported that Tesla filed thousands of rebate claims in the final days of the program, the equivalent of selling two cars a minute, 24 hours a day.
— With files from Nick Murray in Ottawa.
This report by The Canadian Press was first published March 25, 2025.
