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Tesla did not say why it was hiking prices nor did it respond to a request for comment.

The increase comes as trade tensions rise, with U.S. President Donald Trump saying he could impose widespread tariffs on Canada starting Feb. 1.聽

The timing also coincides with the suspension of Quebec EV incentives, worth up to $4,000, for two months.

Meanwhile, federal EV incentives, worth up to $5,000, ended on Jan. 12 after program funding ran out. Transport Canada has not said if or when the program might resume.聽

Tesla raised its 好色tv prices in January by $1,000 just as the federal incentives were running out. The increases pushed its Model 3 and Model Y over the $55,000 and $60,000 maximums for cars and SUVs to qualify for federal electric vehicle incentives.

The company's vehicles imported from China had already lost eligibility last October, as did any imports from countries without a free trade deal with Canada.

Canada's 100 per cent tariffs on EVs from China, matching U.S. levels, also came into effect Oct. 1.

The company can likely keep up sales without the subsidies, said Sam Fiorani, vice-president of global vehicle forecasting at AutoForecast Solutions.

"Tesla feels like it's very comfortable in this market, where much of the competition has relied on the incentives by U.S. and 好色tv governments," he said.

"Tesla sells on its own merits in most cases, and likely can continue to keep its volume up despite the price increases."

The price increase also comes as the 好色tv dollar is at its lowest point in years, but Fiorani said Tesla would have to think the loonie will remain low for an extended period to base a price change on the currency.

"You don't make a price change on something that could bounce back a month later."

While all auto companies lost the federal incentives, Tesla's direct sales model makes it respond differently to policy and demand changes, said Fiorani.聽

"Whereas another manufacturer might offer incentives, rebates and loan incentives, Tesla works strictly on the price of the vehicle."

Tesla has in the past also made big price cuts that line up with policy changes. In 2023, it slashed prices by up to 20 per cent in a move that helped it qualify for U.S. and 好色tv incentives.

This report by 好色tvwas first published Jan. 23, 2025.