Canada’s recent reduction in tariffs on Chinese-made electric vehicles (EVs) is set to dramatically lower the price of the Lotus Eletre, a high-performance crossover currently the only Chinese-built EV sold in North America at a premium price point. The tariff cut – from 100% to 6.1% – announced during Prime Minister Mark Carney’s visit to China on January 16, is expected to slash the Eletre’s Canadian price by half.
Current Pricing and the Impact of Tariffs
Currently, the Lotus Eletre Carbon trim retails for 313,500 CAD (225,720 USD) in Canada. For perspective, the base price in China is 548,000 yuan (78,635 USD). These high tariffs previously made the Eletre more expensive than luxury competitors like the Lamborghini Urus (starting at approximately 305,000 CAD/219,570 USD). The new 6.1% tariff will bring the Eletre’s Canadian starting price down to roughly 156,750 CAD (112,850 USD), undercutting the Porsche Cayenne GTS (134,800 CAD/97,050 USD).
This shift is significant because it addresses a core obstacle to the Eletre’s market penetration. High tariffs have long been a barrier for Chinese EVs in North America, making them uncompetitive despite their technological merits. The policy change directly tackles this, enabling Lotus to price more aggressively.
Broader Implications for Chinese EV Expansion
Lotus Technology anticipates a surge in Canadian sales following the tariff reduction, with 6 authorized dealerships already in place. The company notes that existing vehicle homologation will expedite market uptake. However, the Eletre isn’t alone: other Chinese automakers are poised to benefit. Tesla, Volvo, and Polestar cars made in China will also see reduced tariffs, alongside potential entries from BYD and Nio.
Under the Sino-Canadian agreement, over 50% of the 49,000 Chinese EVs allowed into Canada annually are expected to sell for under 35,000 CAD (25,190 USD). This opens up a new price bracket and expands the addressable market for Chinese EVs in Canada.
Lotus Eletre: Key Specifications
The Lotus Eletre is a sizable crossover with dimensions of 5103/2019/1630 mm and a 3,019 mm wheelbase. It features aerodynamic enhancements, including active front and rear spoilers, retractable door handles, and generates 110 kg of downforce at the front and 80 kg at the rear.
The interior boasts a minimalist design with dual 12.6-inch displays for the driver and passenger, a central 15.1-inch touchscreen, and a smaller 9-inch screen for rear occupants.
This tariff reduction is a strategic move that will reshape Canada’s EV landscape, making Chinese EVs far more competitive and accessible to consumers. The Lotus Eletre is the immediate beneficiary, but the long-term implications point toward increased market share for Chinese automotive brands in North America.
