Ottawa paid out $190M in federal EV subsidies this year as sales slowed

Canadians have claimed more than $190 million in federal subsidies this year toward purchases of new electric vehicles.

New data from Transport Canada shows 44,315 claims were recorded through June, half of them from Quebec.

Ottawa relaunched the rebate program early this year and allocated $2.275 billion to it, which is meant to last up to five years.

Data from Statistics Canada shows EVs accounted for 9.6 per cent of new vehicle sales in both April and May, down from the 12 per cent in the month following the return of federal rebates.

Under the new program, Ottawa set a target of putting 840,000 new EVs on the road by offering up to $5,000 toward the cost of a new EV, and $2,500 toward plug-in hybrids.

The rebates apply only to vehicles that cost less than $50,000 but Canadian-made EVs — which right now include only the Dodge Charger and the Chrysler Pacifica — are exempt from the $50,000 cap.

This report from The Canadian Press was first published July 22, 2026.

By Nick Murray | Copyright 2026, The Canadian Press. All rights reserved.