Musk Is Significantly Raising Tesla Prices in Canada After Recent Political Turmoil

Tesla has announced higher prices across all its models in Canada, adding to the challenges in the country’s electric vehicle market. This comes as federal and Quebec EV incentive programs are being phased out, with Quebec’s program previously leading the country in encouraging EV adoption.

Here’s what’s changing: the Model 3 will see increases ranging from $4,000 to $9,000, depending on the version. The Model Y, Model S, and Model X are all going up by $4,000. Buyers can still save $1,300 CAD on select models like the Model Y, S, or X if they use a referral code.

While Tesla hasn’t shared why these price hikes are happening, there are likely two major factors at play.

First, the Canadian dollar has fallen sharply against the US dollar recently. Second, the timing has some speculating that it’s related to trade tensions, with President Trump threatening 25% tariffs on Canadian goods and Canada promising to respond with its own tariffs.

Tesla continues to dominate EV sales in Canada, but these changes could make it harder for more buyers to switch to electric.

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