This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news for car manufacturers, parts suppliers, car dealers, rental companies, and importers/exporters in the automotive industry. Once a week, we break down the most important updates in this space in under five minutes.

Want to track the upstream and downstream forces affecting Automotive? Don’t miss this week’s updates in Manufacturing and Oil & Gas. Also consider subscribing to our Automotive - Washington edition covering critical GR news south of the border.

Dates: 2026-03-08 to 2026-03-14

📋 In This Week's Newsletter

• 🇨🇦 Federal Government News
• 🗺️ Provincial Government News
• 💬 Government Consultations
• 📚 What We're Reading This Week

Federal Government News

Canadian International Trade Tribunal Launches Final Injury Inquiry on Chinese Truck Bodies

On March 9, 2026, the Canadian International Trade Tribunal started a final injury inquiry (NQ-2025-009) to determine whether dumped and subsidized truck bodies imported from China have harmed or threatened to harm Canada's domestic industry. This follows preliminary findings by the Canada Border Services Agency. The Tribunal will reach its determination by July 3, 2026. Interested parties can participate by submitting Form I—Notice of Participation. The Tribunal operates independently, hearing cases on dumped imports and trade complaints and providing advice on tariff matters.

Sources: www.canada.ca

Trade Tribunal Amends Photovoltaic Module Order for Vehicle Applications

The Canadian International Trade Tribunal, in an interim review (RD-2025-001) on March 13, modified its prior order concerning photovoltaic modules and laminates from China. The amendment now excludes flexible photovoltaic modules intended for vehicle applications on curved surfaces with power output not exceeding 200 W. The Tribunal continues oversight of anti-dumping and tariff matters regarding these products and reports to Parliament via the Minister of Finance.

Sources: www.canada.ca

Canada–Ontario Workforce Tariff Response Targets Automotive and Allied Sectors

Employment and Social Development Canada, alongside Ontario's Labour, Immigration, Training and Skills Development Ministry, unveiled the Canada–Ontario Workforce Tariff Response on March 10. The initiative allocates $228.8 million over three years to support approximately 27,000 workers in sectors affected by global tariffs, including automotive, steel, and softwood lumber. Delivered through Ontario's network of training programs, funding supports upskilling, retraining, and employment resilience, with both existing and enhanced mechanisms targeting workers and employers impacted by tariffs.

Sources: www.canada.ca

Senate Committee Debates Challenges to 2030 Emissions Targets

The Standing Senate Committee on Energy, the Environment and Natural Resources met on March 12 to discuss progress on Canada's 2030 Emissions Reduction Plan. ECCC officials Alison McDermott and Judy Meltzer discussed industrial carbon pricing, clean electricity, and emissions trends. Senators raised concerns regarding feasibility and competitiveness, referencing economic, geopolitical, and policy challenges. Witnesses Rick Smith and Dr. Damon Matthews cited EV uptake and clean energy projects as indicators, but highlighted that stronger policies and industrial carbon pricing are needed. Additional topics covered included methane regulations, AI's impact on transportation emissions, carbon sequestration, and provincial-federal coordination.

Sources: senparlvu.parl.gc.ca

Senate Committee Examines Species-at-Risk Review Backlogs and EV/Energy Efficiency Targets

On March 10, the Senate Committee discussed endangered wildlife and the draft 2026–29 Federal Sustainable Development Strategy. Canadian Wildlife Service witnesses Tara Shannon and Aura Pantieras reported on the backlog of over 400 overdue COSEWIC species reviews, workload pressures, and stable funding. The committee also engaged with Vincent Klassen regarding the strategy's framework, debating energy efficiency and EV targets, overlapping frameworks, and reassessment requirements.

Sources: senparlvu.parl.gc.ca

StatsCan Reports Manufacturing Sales Drop in Transportation Equipment Subsector

According to Statistics Canada's Monthly Survey of Manufacturing (January 2026), overall manufacturing sales fell 3.0%, driven primarily by declines in transportation equipment and machinery. Miscellaneous manufacturing saw the largest sales increase for the month.

Sources: www.statcan.gc.ca

Wholesale Trade Contracts in January, Driven by Automotive Sector Declines

Statistics Canada's wholesale trade report for January 2026 shows a 1.0% decrease in overall sales. The contraction is attributed to reduced activity in the motor vehicle, parts, and accessories subsector, as well as mineral and metal trading groups.

Sources: www.statcan.gc.ca

New Motor Vehicle Registrations Show Slight Annual Increase, Quarterly Fluctuations

In 2025, Statistics Canada recorded 1,866,714 new motor vehicle registrations, representing a 0.7% year-over-year increase. The second quarter registered growth (+6.0%) while the fourth quarter saw registrations decline by 7.2%.

Sources: www.statcan.gc.ca

Automotive Equipment Rentals and Leasing Revenue Rises Amid Slower Market Demand

StatsCan's report for 2024 confirms $10.7 billion in operating revenue for the automotive equipment rental and leasing industry, rising 4.3% over 2023. The industry includes establishments renting or leasing vehicles such as passenger cars, vans, trucks, and recreational vehicles without drivers, with demand for rentals described as sustained but slowing.

Sources: www.statcan.gc.ca

Lotus Plans Entry into Canadian EV Market Using New Import Quota

Lotus announced intentions to become one of the first brands to sell Chinese-manufactured electric vehicles in Canada, leveraging a newly introduced quota program. Vehicles are expected to be marketed under Geely Group with the Eletre SUV positioned at launch.

Sources: www.theglobeandmail.com

Annual Survey of Environmental Goods and Services Data Published

Statistics Canada released new data from its Annual Survey of Environmental Goods and Services for 2024, capturing industry-level figures related to the production of environmental goods and services.

Sources: www.statcan.gc.ca

Provincial Government News

Ontario and Canada Commit $228 Million for Tariff-Affected Workforce Development

Ontario announced a $228.8 million investment from the federal government to retrain workers affected by tariffs, targeting the automotive, steel, and lumber sectors through Skills Advance Ontario.

Sources: news.ontario.ca

Ontario Invests $7.3 Million in Windsor to Support Tariff-Impacted Automotive Companies

Eight auto sector projects in Windsor will receive support from the Ontario Together Trade Fund, focused on strengthening supply chains and protecting local jobs following US-imposed tariffs.

Sources: news.ontario.ca

Ontario Together Trade Fund Provides Support Details for Windsor Auto Firms

The province released funding details for businesses including Canadian Electrocoating Ltd. and Central Stampings Ltd., allocating more than $7.3 million to support facility upgrades, automation, expansion, and job preservation in Windsor.

Sources: news.ontario.ca

BC Deploys Overheight-Detection System to Prevent Overpass Collisions

British Columbia is installing a new overheight-detection system in Chilliwack, combining sensors, cameras, and beacons to reduce infrastructure collisions by alerting drivers before reaching an overpass.

Sources: news.gov.bc.ca

Manitoba Opens New Highway Inspection Station and Weigh Scale Near Headingley

Manitoba's $13-million facility offers truck inspection and weigh scale operations, streamlining compliance with safety and weight rules along a major corridor, with capacity for up to 250 vehicles daily.

Sources: news.gov.mb.ca

Government Consultations

Consultation: Adopting Global Technical Regulations for Zero Emission Vehicle Safety

Transport Canada announces a consultation for updates to CMVSS 305 to harmonize with UN GTR 20 on electric vehicle safety and creation of a new CMVSS aligning with UN GTR 13 on hydrogen and fuel cell vehicle safety.

Sources: N

What We're Reading This Week

• Exploring the new EV rebate: Should you buy new, used, or wait for upcoming models?: Review of rebate options for electric vehicle buyers and implications for the Canadian market.
• Manitoba bill would ban suppliers from keeping repair parts private: Legislative proposal aims to require suppliers to make repair parts available for consumers.
• Trapped in a Tesla: Why electronic doors are at the centre of the investigation into this deadly Toronto EV fire: Investigation underway after a fatal EV fire highlights questions around electronic door safety.
• Prices for new U.S. cars have soared. Here’s 1 big reason why: Analysis of factors contributing to rising prices in the American new car market.

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