Manitoba excludes Tesla from EV rebate program

The Manitoba government is making changes to its electric vehicle (EV) rebate program as part of its budget to address ongoing trade tensions with the United States. In the new $25.9-billion budget, the government announced it will stop offering rebates for Tesla vehicles and those made in China. Finance Minister Adrien Sala stated the decision is part of the government's strategy to protect the economy from U.S. tariffs. President Donald Trump recently imposed tariffs on Canadian steel and aluminum, with more expected soon. The province plans to support local businesses by encouraging them to sell beyond the U.S. market, including an additional $500,000 for its export support program. As part of the budget, the government will end its contract with a Texas-based company that handled online sales for provincial park passes. Starting April 1, entry to all provincial parks will be free for the year, costing the province nearly $3 million in lost revenue. Despite cutting rebates for Tesla and Chinese EVs, the government will continue to offer $14.8 million for the EV rebate program. Currently, Manitobans can receive up to $4,000 for a new electric vehicle purchased from local dealerships. The province has paid out almost $10 million since the program started last July. University of Winnipeg economist Philippe Cyrenne expressed concern about the decision to target Tesla, suggesting such political actions seldom yield positive outcomes. Opposition finance critic Lauren Stone also criticized the government's interference in consumers' purchasing decisions, arguing that buyers should decide what to purchase. In contrast, Loren Remillard, CEO of the Winnipeg Chamber of Commerce, supported the government's decision, highlighting the importance of prioritizing Canadian products during the trade dispute. The changes reflect a broader trend among Canadian provinces responding to tariffs and trade tensions.