Exclusive: Canada says proposed US EV tax credit could harm sector

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WASHINGTON/OTTAWA : The Canadian government on Friday warned that U.S. proposals to create new electric vehicle tax credits for American-built vehicles could harm the North American auto industry and fall foul of trade agreements, according to a letter seen by Reuters.In the letter dated Oct. 22, Canadian

WASHINGTON/OTTAWA : The Canadian government on Friday warned that U.S. proposals to create new electric vehicle tax credits for American-built vehicles could harm the North American auto industry and fall foul of trade agreements, according to a letter seen by Reuters.

The letter also said that the"proposals are inconsistent with U.S. obligations under the United States Mexico-Canada Agreement and the World Trade Organization". The U.S. Trade Representative's Office did not immediately comment, but the Biden administration has praised the proposals.

 

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