Tesla is set to increase the prices of its entire vehicle lineup in Canada starting Feb. 1, according to updates on the company’s Canadian website. Price hikes will see the Model 3 rise by as much as C$9,000 ($6,255), while Model Y variants will cost up to C$4,000 more. Model S and Model X versions will also experience price increases of C$4,000.
Tesla did not disclose the reasons behind the adjustments, and it remains unclear how many of its vehicles destined for Canada originate from its Shanghai factory in China or its U.S.-based plants. Tesla currently does not manufacture cars in Canada and relies on imports to meet demand.
See also: Tesla Begins Cybertruck Deliveries in Canada After Clearing U.S. Backlog
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The price increases come against a backdrop of potential trade friction. Canadian Prime Minister Justin Trudeau reaffirmed his readiness to respond to possible 25% tariffs on Canadian and Mexican imports threatened by U.S. President Donald Trump.
Compounding the issue, Canada already imposes a 100% tariff on electric vehicles imported from China, including Tesla’s Shanghai-manufactured cars.
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