B.C. faces mounting pressure to rethink EV mandate

Auto industry groups are calling on British Columbia to scrap its zero-emission vehicle (ZEV) mandate, warning the policy is out of step with federal direction and current market conditions.

In a joint statement issued March 24 in Vancouver, the Canadian Automobile Dealers Association (CADA), the Canadian Vehicle Manufacturers’ Association (CVMA) and the Global Automakers of Canada (GAC) urged the province to repeal the mandate and adopt a single national approach based on greenhouse gas (GHG) regulations rather than technology-specific targets.

The call follows Ottawa’s Feb. 5 announcement that it will repeal the federal Electric Vehicle Availability Standard in favour of stricter emissions regulations, signalling a shift away from mandated EV sales targets. Industry groups say that change reinforces the need for alignment across jurisdictions.

“Canada is navigating a trade rupture, with consumers facing uncertainty and growing affordability pressures. Ending province-specific EV mandates in favour of one national approach to greenhouse gases is the right path forward,” said Tim Reuss, President and CEO of the Canadian Automobile Dealers Association. “Premier Eby is creating an interprovincial trade barrier and an affordability cliff for consumers by clinging to this outdated policy.”

Brian Kingston, President and CEO of the Canadian Vehicle Manufacturers’ Association, said the current policy risks limiting consumer choice while increasing costs. David Adams, President and CEO of the Global Automakers of Canada, added that duplicative provincial rules introduce unnecessary complexity for businesses and undermine a cohesive national strategy.

The national call aligns with concerns raised a day earlier by the New Car Dealers Association of British Columbia (NCDA), which outlined similar issues in a March 23 letter to Premier David Eby and Energy and Climate Solutions Minister Adrian Dix.

In the letter, the association urged the province to move beyond recent interprovincial debate and focus on a more “grounded, solutions-focused discussion” that reflects what it described as a growing gap between ZEV policy ambition and market reality.

“Quite simply, we are facing a demand challenge, not a supply issue,” said Blair Qualey, the association’s President and CEO. “Recent data shows electric vehicle adoption softening, while consumer interest is shifting toward hybrid and plug-in hybrid vehicles that offer both emissions reductions and practical flexibility.”

The association said ZEV registrations in British Columbia declined to 18.3 per cent last year, down from 22.8 per cent in 2024, as buyers increasingly turned to hybrid alternatives. It also warned that maintaining rigid sales mandates in the absence of incentives risks increasing costs and limiting vehicle choice.

“With the average cost of a new vehicle now approaching $66,000, affordability is already a major barrier,” Qualey said. “Policies that move ahead of consumer readiness risk making that situation worse.”

The letter also emphasized the need for alignment with the federal government’s evolving approach and cautioned that a fragmented, province-by-province system could act as an internal trade barrier.

Industry groups argue that maintaining a separate provincial mandate risks creating additional cost and complexity for both dealers and consumers, while a unified national framework based on emissions standards could deliver similar environmental outcomes with greater flexibility and affordability.

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