Canada has imposed a 100% tariff on Chinese made electric vehicles following the footsteps of the European Union and the US.
The Chinese manufacturers have been subsidized back in China which the western countries accuse of being disturbing its local market.
The trade war has been going on between the West and China on multiple issues owing to volatile geopolitical challenges.
Tariffs Will Come Into Effect on 1 October
The Canadian Prime Minister Justin Trudeau said the latest round of tariffs will come into effect on 1 October.
The government is also thinking of imposing tariffs on Chinese steel and aluminum.
Meanwhile, the Chinese government has lashed out at the tariffs and said the tariffs violate the World Trade Organization rules.
Tariffs To Hit Tesla
The latest round of tariffs is also expected to hit Tesla badly as it has its world’s largest manufacturing plant in Shanghai, China.
Experts believe the company will likely switch to the US or Europe if its lobbying efforts failed to succeed.