Reports of the death of EVs are greatly exaggerated
If you follow what often is posted on the Internet, Reddit forums or ‘experts’ on YouTube, you are under the impression that electric vehicles (EVs) are dying. You will come across many posts and videos claiming that consumers are in revolt, abandoning EVs and returning to gasoline-powered vehicles. Almost all will cite some random study or news item to prove that no one wants EVs and that all the claims about EVs were hype, or outright fabrications, driven by governments—or worse, ‘socialists’—to ‘force’ people to buy them and ‘bribe’ manufacturers to build them.
To use a tired and now likely forgotten adage: Do not believe everything you read— or better, do not believe what someone on YouTube, Reddit or what a self-proclaimed expert posts.
Too often, it is bunk, based on anecdotal evidence, cherry-picked data and question[1]able reports from supposed ‘news’ sites. Still, it is not hard to see why this idea that EVs are dying is so prevalent right now.
In Canada, much of this is driven by the recent news that General Motors is shutting down the BrightDrop electric vehicle assembly operations in Ingersoll, Ont. and Stellantis announcing that its battery plant in Windsor, Ont. will begin production of batteries for energy storage, and not for EVs as it said it would when ground was broken on the project. Then there is the news that Ford, Porsche and Stellantis, which owns Jeep and Ram, are scrapping new electric models, while Honda is ending production of the U.S.-only Acura EV.
When one looks at data from credible analyst firms that track automotive vehicle sales across North America, however, the EV market in Canada and North America is not dying at all. It is changing, certainly, but nowhere near the apocalyptic collapse being claimed, nor are EV sales the result of a grand conspiracy by governments.
S&P Global Mobility’s Canada Electric Vehicle Industry Insights: Q2 2025 report found that Zero-Emission Vehicles (ZEVs) accounted for one in 11 new vehicles registered in Canada. ZEV market share was 9.2% for Q2 2025, down from 9.7% quarter-over-quarter. ZEV volume increased 25.6%, while total light-duty vehicles (gross vehicle weight volume increased by 32.3%). Quebec had the highest EV adoption rate of all provinces with ZEVs accounting for 11.8%, and the province led in overall ZEV volume in Canada, accounting for 45.9%.
Diving into the numbers a bit more, S&P Global Mobility found the EV market is changing to meet shifting consumer demands driven by economic factors in Canada and across North America: “The Canadian market has reached a pivotal inflection point. For the first time, full hybrids (12.9% market share) have surpassed the entire ZEV segment (9.2%), signaling a major shift in consumer priorities toward practicality and affordability.”
There certainly has been a decrease in ZEV sales growth with the market in the second quarter of 2025 falling from 9.7% to 9.2% quarter-over-quarter, but you cannot call that a devastating collapse. The bifurcation of the market in Canada is being driven by consumers who say full-electric vehicles are too expensive. There was a study a while back with Canadians reporting more openness to buying a fully EV if the average price was the same or lower than gasoline-pow[1]ered vehicles.
Added to this has been the rollback of Canadian and provincial government incentives for consumers purchasing EVs, which has dampened sales. In addition, the continuing 100% tariff on Chinese-made EVs is cutting off a source of high-quality and affordable vehicles for Canadians.
Another key factor is that with economic uncertainty and higher interest rates, there is now uncertainty as to the Canadian government’s future direction when it comes to Canada’s EV sales mandate. Starting in 2026, vehicle makers were to ensure that 20% of all new vehicles—including SUVs and light-duty trucks—were to be zero emission. That sales target was to rise to 60% by 2030 and 100% by 2035.
Prime Minister Mark Carney in September paused this and announced a 60-day review, which is now upon us. Reporting from inside the government suggests these targets will be amended as the government explores additional flexibilities going forward. Then there is the fractured provincial EV market, with Quebec being an EV stronghold, while Ontario, British Columbia and Alberta shift to hybrids.
So, no, there is little evidence the EV market in Canada is cratering. Changing, yes, but not disappearing.
Going forward, the EV market in Canada will adjust depending on larger factors, such as decisions made by the federal and provincial governments around incentives and manufacturing support; whether to change the tariffs around EV manufactured in China; the upcoming review and renegotiation of the Canada-United States-Mexico Act that replaced NAFTA in 2020; and the unpredictability of the tariff regime of the United States that has hit Canadian industries, especially automotive manufacturing in Ontario.
