Ottawa: Canadian Prime Minister Justin Trudeau announced a significant move on Monday, imposing 100 percent tariffs on Chinese electric vehicle (EV) imports. The decision aligns with similar measures taken by the United States to counter the influx of state-subsidized Chinese cars into North America.

Trudeau accused China of "not playing by the same rules as other countries," particularly in areas such as environmental and labor standards. In addition to the EV tariffs, Canada will impose a 25 percent surtax on imports of Chinese steel and aluminum products.

The move comes as Canada's auto industry, which employs over 125,000 people, is undergoing a significant shift toward electric vehicles. The Canadian government has invested billions in building a domestic electric battery supply chain and attracting major automotive companies, including Goodyear Tire, Honda, Stellantis, and Volkswagen, through subsidies.

Trudeau emphasized that the overproduction of Chinese EVs, coupled with substantial state subsidies, necessitated this action. "Unless we want to get in a race to the bottom, we have to stand up, and that's what we're doing," he said during a press conference in Halifax.

The tariffs, which will be implemented starting October 1, will apply to Chinese electric and certain hybrid passenger vehicles, trucks, buses, and delivery vans. Additionally, Canada will limit eligibility for EV incentives to vehicles made in countries with which it has free trade agreements, effectively excluding China.

The surtax on Chinese steel and aluminum products will take effect on October 15, further intensifying trade tensions between the two countries.