However, as the prices at the gas stations keep increasing, so does the demand for electric cars, and consumers are now looking for cheap models of electric cars. Even though buying a Tesla Model 3 RWD costs about $38,630 in America, which seems like a great deal, the price is still quite substantial considering that it is a new car. Nevertheless, there is actually a cheaper model available, selling at about $31,000, according to Automotive News; however, one will have to go up north to get it.
Tesla is said to benefit from a friendly relationship between Canada and China and sell its Shanghai-built Model 3 RWD Premium in Canada at a reduced price due to a 25 percent duty placed by the Canadian government on American goods in retaliation to America putting similar tariffs on Chinese imports. This resulted in an expensive $80,000 Canadian dollars, about $60,000 in American freedom dollars, cost for the Tesla Model 3 Long Range.
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Despite the 6.1 percent levy imposed by Canada on Chinese cars, the Tesla EV sedan begins at CAD 39,490. This is equal to just under USD 31,000 when adjusted for delivery costs and currency conversion, assuming one opts for Stealth Gray. Pearl White and Deep Blue Metallic cost CAD 955, Diamond Black adds CAD 1,469, while Ultra Red and Quicksilver come at an additional CAD 1,910. There are also options for the buyer to go for 19-inch Nova Wheels priced at CAD 1,469 and the black and white interiors which cost CAD 955. Tesla’s Full Self Driving capability is available in Canada on a monthly subscription of USD 73 per month with a thirty-day free trial period.
There is, however, one caveat related to the purchase location. The Model 3 RWD Premium cannot benefit from the federal tax incentive scheme offered by the country due to being imported from China, which does not have any free trade pact with Canada.
In addition to sacrificing performance compared to the American-made RWD Model 3, the Chinese-made Premium is slightly less powerful. Specifically, the range decreases from 321 miles for the American model to 288 miles for the Chinese-made vehicle. The charging performance also takes a slight drop, where according to Tesla, the Chinese-made car can be charged to a maximum of 160 miles within 15 minutes using its 250 kW Superchargers, 10 miles fewer than what the American counterpart can be charged with the same charger despite the latter having a lower charging power of 225 kW. The reason lies in battery technology used.
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This is also not the first time that Tesla ships its Model 3 from China to customers in Canada. In the past, Tesla has shipped Model 3s and Model Ys built in Shanghai but has ceased doing so after Canada increased tariffs on Chinese-made electric vehicles to 100 percent in 2024, the same as in America. But starting January, Canada slashed the tariff on Chinese-made electric vehicles to 6.1 percent in exchange for a trade pact reached between Canadian Prime Minister Mark Carney and Chinese President Xi Jinping. The lower tariff will apply to 49,000 Chinese-made electric vehicles, plug-in hybrids, and extended-range electric vehicles annually, with an increase to 70,000 within five years.
