During the Liberal Party’s French leadership debate, Chrystia Freeland proposed slapping 100% tariffs on Tesla vehicles to create pressure on Elon Musk.
Freeland argued that pressuring Musk via Tesla tariffs would create “internal pressure” on decision-makers in the White House.
She said that Canada can afford to do so and must prepare to engage a tariff war with the United States, including one that targets the richest man in the world.
This comes after Tesla hiked the price of its vehicles by $1,000, pushing both of its top vehicles—the Tesla Model Y and Model 3—out of eligibility for taxpayer funded electric vehicle incentives. Tesla also announced in January that they will be raising prices of its cars by up to $9,000.
With a potential trade war incoming between the US and Canada, tariffs on Tesla vehicles would further increase prices.
Freeland also claimed that Canada is in a strong financial situation, stating that Canada has the lowest debt to GDP ratio in the G7 and a triple AAA credit rating.
About 2% of Tesla’s global sales are to Canadian consumers.
