Investing.com – Tesla (NASDAQ: ) is set to raise the prices of its electric vehicles in Canada starting Feb. 1, Reuters reported, citing an announcement on the company’s website in the country.
The move will increase the price of Tesla’s popular Model 3 by as much as C$9,000, while the price of the Model Y will increase by C$4,000, the news agency said. The Model S and X versions will also increase in price by C$4,000.
Tesla, which does not make cars in Canada and imports them into the country from factories elsewhere, did not give a reason for the price jump and did not respond to a request for comment, Reuters reported.
The change comes as Canada has found itself in the crosshairs of US President Donald Trump’s rhetoric about possible import tariffs since he began his second term in the White House earlier this week. Trump, who is strongly backed by Tesla CEO Elon Musk, has threatened to impose an additional 25% tax on imports from Canada and another trading partner, Mexico, as early as February 1.
Canadian Prime Minister Justin Trudeau said his government is ready to respond with counter-tariffs, but added that he speaks with Trump “regularly.” However, he pointed out that Trump’s approach to US trade relations with the northern neighbor “introduces uncertainty”.
At the same time, Canada already has a 100% tariff on electric vehicles imported from China.
