Tesla Canada Executive Explains Why Model 3 Orders Are Paused Despite Unused EV Import Quota

Dark Model 3 Premium RWD by mountains

Tesla Canada has shed more light on why it stopped accepting orders for two versions of the Model 3, while thousands of spots in Ottawa’s quota for China-built EVs still sit unclaimed.

Writing on LinkedIn Tuesday, Tesla Canada public policy executive Iain Myrans argued Ottawa has more say over how import permits are distributed than the program’s first-come, first-served structure might suggest.

“Global Affairs Canada is providing in advance the maximum number of cars OEMs can expect to bring in for a period,” Myrans wrote.

“So, while the program outwardly looks like it is a first-come-first-served model, there is a lot more behind it.”

Why Tesla Stopped Taking Model 3 Orders

Tesla stopped taking orders for both China-built Premium trims, starting at $39,490, on October 12, saying its allocation had run out.

However, the government’s latest figures show just 328 vehicles had entered against the 33,397 permits available between September 2026 and February 2027 as of October 9.

Myrans cited Section 8(1) of the Export and Import Permits Act, under which the minister decides how many permits are issued and on what terms.

He noted GAC can also hold back permits so newcomers and other automakers get a fair share.

Thousands of Import Permits Remain Unused

Under the program, up to 49,000 China-built EVs a year can enter at the reduced 6.1% rate. During the first six-month period, only 15,603 of 24,500 permits were used.

Global Affairs Canada previously told Drive Tesla it “is consulting with interested companies to optimize remaining quota availability.”

The department has not disclosed individual automaker allocations, and Myrans did not reveal Tesla’s specific limit.

Based on the information revealed thus far, both from Myrans and from Global Affairs Canada, it appears the federal government is prioritizing other automakers over Tesla, potentially reserving thousands of permits for manufacturers that may not even use them before the current allocation period ends in February.

With more than 33,000 permits still available, restricting Tesla’s access could leave a significant portion of the quota unused, despite demonstrated demand for its Shanghai-built Model 3. While the government says its approach is intended to ensure equitable access, it could ultimately limit EV sales rather than encourage them.

For now, Tesla expects Model 3 Premium orders to resume in March 2027. Buyers can still order the Performance trim, which is built in the U.S.

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