Zeekr prepares for sales in Canada after tariff cuts
Chinese electric vehicle manufacturer Zeekr is preparing to begin sales in Canada following a trade agreement that provides for a reduction in Canadian tariffs on Chinese electric vehicles from 100% to 6%. In the first year of the agreement, 49,000 Chinese electric vehicles are to be sold in Canada, CBS News reports.
Zeekr is the premium brand of Geely Auto Group, one of China's largest electric vehicle manufacturers. The company produces vehicles at a plant near the Chinese port city of Ningbo, which began operating in 2023. The facility is 99% automated: AI-controlled robotic systems assemble the cars, while employees monitor the process.
Competition in Canada
The planned volume of Chinese imports will account for almost a quarter of Canada's electric vehicle market last year. Chinese brands will compete for market share with Tesla, General Motors and Ford. CBS News notes that the significantly lower prices of Chinese electric vehicles may appeal to many buyers.
Zeekr Vice President of Manufacturing Zhao Chunlin, who previously worked at General Motors, said that the high demands of buyers in the world's largest car market helped China take a leading position in the electric vehicle sector. He also claims that Chinese-made Tesla vehicles are of higher quality than Tesla cars manufactured in the United States.
More current news is available on the UA.News Telegram channel Telegram.
According to Zhao, Geely plans in the future to sell and potentially manufacture vehicles in the United States through cooperation and joint ventures. The U.S. government currently restricts Chinese vehicles' access to its market through high tariffs and bans, citing national security considerations and the protection of the domestic auto industry.
Zeekr exports
Zeekr already sells vehicles in more than 50 countries. In September, the company plans to begin exporting its most expensive plug-in hybrid SUV, the 9X, to Europe and Middle Eastern countries. According to CBS News, the model costs about $70,000, accelerates from 0 to 100 km/h in four seconds and has a combined range of 745 miles on fuel and battery charge.
Chinese automakers are already expanding their presence in other markets. In Australia, the share of Chinese-made cars has grown from zero 10 years ago to more than 30% now. In Europe, the share of Chinese electric vehicles has increased this year from about 9% to 14%, despite higher tariffs for certain brands.
