The Manitoba government has removed Tesla from its electric vehicle (EV) rebate program. The move, which also includes Chinese-made EVs, was announced as part of the province’s $25.9-billion budget on Thursday.
Under the EV rebate program, Manitobans can receive up to $4,000 in rebates for eligible new electric vehicles and $2,500 for used ones. However, those incentives will no longer apply to Tesla vehicles—regardless of whether they are new or used—or any EVs manufactured in China. The exact date for the policy change has not yet been specified.
Finance Minister Adrien Sala framed the decision as part of a broader “elbows up” strategy to defend local industries. “It’s part of our government’s commitment to be elbows up,” Sala said. “Donald Trump is creating a historic threat to our economy.”
While the government maintains that the move was made in response to U.S. tariffs, no other U.S.-based automakers were similarly removed from the program.
Currently, all variants of the Model 3 and Model Y are eligible for the rebate, according to the government’s website.
The Winnipeg Chamber of Commerce praised the EV rebate changes as a necessary stand in a global trade dispute. “The government is doing the right thing by sending a clear message that we are going to lean in to buy Canadian,” said CEO Loren Remillard.
Still, critics warn the politicization of consumer incentives could have unintended consequences. “Six months ago we were celebrating people who bought a Tesla,” said University of Winnipeg economist Philippe Cyrenne. “Now, they’ve become persona non grata.” (via CBC)
