TORONTO — Ontario Premier Doug Ford is slamming Canada’s new trade agreement with China, saying it’s inviting a flood of cheap Chinese electric vehicles with no guarantee of investments.
Prime Minister Mark Carney announced Friday that Canada has agreed to slash its 100 per cent tariff on Chinese EVs for up to 49,000 vehicles per year.
In exchange, China will drop or significantly reduce its retaliatory tariffs on Canadian agriculture products, including canola seed and meal, pork, seafood and peas.
“This is going to be terrible for not only just all the people of Ontario, but especially the auto manufacturers, the supply chain,” said Ford during a media scrum Friday.
He called the deal lopsided and warned it risks closing the door to the U.S. market for Canadian automakers, while raising concerns about how subsidized the Chinese EV industry is and the security risks the cars pose.
“It’s just a terrible, terrible, miscalculated decision by the Prime Minister.”
Ford has called for the federal government to support Ontario’s auto sector by ending the EV sales mandate, which is currently paused, and scrapping federal fees.
The government has framed the deal on EVs as part of a wider new strategic partnership with China that presents enormous opportunities for Canada.
“It’s a partnership that reflects the world as it is today, with an engagement that is realistic, respectful and interest-based,” Carney said at a news conference in Beijing.
The government noted the 49,000 EVs subject to a lower 6.1 per cent tariff represents less than three per cent of the Canadian market for new vehicle sales. It said it’s the same volume of EVs that came in from China in 2023-2024 before Canada hiked tariffs along with the United States in an effort to protect domestic industries.
While the deal comes with tariff relief on agricultural products, there’s no promise to invest in Canadian auto manufacturing. The government says that “it is expected” that within three years, the agreement will drive new Chinese joint-venture investment in Canada.
Ford criticized the lack of immediate investment or even firm commitments, and Ontario NDP Leader Marit Stiles also came out against the deal saying workers deserve more.
“Let me be clear: Mark Carney is selling out our auto sector,” said Stiles in a social media post. “Our workers deserve guarantees – you don’t protect an industry with maybes.”
This report by The Canadian Press was first published Jan. 16, 2026.
Ian Bickis and Sarah Ritchie, The Canadian Press
