Manitoba government cuts Tesla and Chinese-manufactured cars from EV rebate program
Posted March 21, 2025 4:55 pm.
Last Updated March 22, 2025 10:52 am.
On Thursday, the province pledged $14.8 million to continue its electric vehicle rebate. However, for those considering a Tesla, you may want to explore alternative options, as the company owned by Elon Musk has been given the boot by the province.
“It’s part of our government’s commitment to be elbows up,” said Adrian Sala, Finance Minister of Manitoba. “We are also continuing our EV rebate program, except budget 2025 removes Teslas and any Chinese-manufactured cars from the list of eligible vehicles.”
Prior to Thursday’s announcement, Manitobans interested in purchasing a Tesla would be eligible for a $4,000 rebate if the vehicle was new, and $2,500 for a used EV. As of March 19th, Tesla and Chinese-manufactured EVs will no longer be eligible.
This retaliatory measure against the Musk-owned car company follows similar moves across the country, with Ontario and BC barring the automotive manufacturer from certain EV rebate programs.
Progressive Conservative finance critic Lauren Stone was critical of the province interfering with the purchasing decisions of Manitobans, saying other measures should be prioritized.
“I’m not a fan of the government interfering in Manitobans’ purchasing decisions,” said Stone. “I think that we should be encouraging local and expanding our export markets, but that should be up to Manitobans and their pocketbooks and how they choose to spend their money.”
As for University of Manitoba economist Fletcher Baragar, in his view, the move stands in stark contradiction to the province’s previous efforts to increase the adoption of electric vehicles. Baragar fears that the measure will have a greater impact on the wallets of Manitobans rather than the bottom line of Musk.
“Closing off or charging higher fees for imports from two major producers, the United States and China,” said Baragar.
Meanwhile, at the World of Wheels car show, while supportive of the province’s decision, James Hart, president of the Manitoba Electric Vehicle Association, says there are currently not enough entry-level options available—and even fewer now.
“When Japanese and Korean vehicles started arriving in the ’90s, it forced North American manufacturers to step up their game to make affordable, smaller vehicles,” said Hart.
