Tesla is promoting 'pre-tariff' EVs in Canada as prices begin to rise
Tesla
- Tesla is encouraging Canadian customers to explore its "pre-tariff" inventory online.
- Trump imposed 25% tariffs on imported vehicles and parts. Canada retaliated with a similar tariff.
- Automakers said the tariffs could upend the supply chain and raise prices.
Tesla is encouraging customers in Canada to purchase its vehicles at "pre-tariff prices."
The company is displaying a small banner atop its website for Canadian shoppers that reads, "Explore pre-tariff priced inventory while supplies last."
Clicking the banner lets customers view Tesla's inventory that's not yet been affected by tariffs, including the Model S, Model 3, Model X, Model Y, and the Cybertruck.
Tesla's promotion comes in response to President Donald Trump's 25% tariff on imported passenger vehicles and key parts and Canada's similar retaliatory tariffs. Both sets of tariffs went into effect in April and car prices are beginning to rise on both sides of the border. Some Teslas are now over 20% more expensive, according to a site that tracks Tesla prices in Canada.
A coalition of automakers, dealers, and suppliers sent a letter to the White House last week, warning that the tariffs would hurt the industry and raise consumer prices.
Jonathan Raa/NurPhoto
"Tariffs on auto parts will scramble the global automotive supply chain and set off a domino effect that will lead to higher auto prices for consumers, lower sales at dealerships, and will make servicing and repairing vehicles both more expensive and less predictable," the letter said.
Representatives for Tesla did not respond to a request for comment from Business Insider.
Tariffs aren't Tesla's only problem. Tesla CEO Elon Musk has also been the face of the White House DOGE Office, leading the charge to cut the federal workforce and slash government agencies. Those moves have led to a backlash against Musk, targeting his company, Tesla. The company has weathered protests at Tesla dealerships and stumbling shares.
Musk's announcement last week that he would be stepping back from his government work sent the company's stock surging 20%.