Dealers welcome the return of the $4,000 subsidy

The return of a $4,000 subsidy for the purchase of an electric vehicle in the Girard budget tabled on Tuesday is a relief for dealers who have seen their sales plummet since January.

“The subsidy is very welcome for dealers,” says Simon Beauchesne, Director of Automotive Events for MG Marketing.

As he toured dealerships across Quebec, he could only observe the impact of the subsidy cut-off, as customers went from a $12,000 rebate to zero in a matter of weeks at the beginning of January.

“What was the big problem was the unpredictability surrounding the end of provincial and federal subsidies, it was deadly for sales.”

With the arrival of spring, traditionally a good time to change cars, dealers are full of hope thanks to the resumption of the subsidy on April 1.

“It's good news because the subsidies are a big incentive: customers want an advantage in buying an electric vehicle,” says Cédric Gamache, customer service manager for Impact Ford in Rivière-du-Loup.

Sigh of relief

The co-owner of Bourgeois Chevrolet Buick GMC in Rawdon also sighed with relief after the release of Eric Girard's budget.

She claims that the uncertainty held back all customers who wanted to buy an electric car.

“It's not a few, it's 100% of people who were saying 'we're waiting', and if we'd been in their shoes, we'd have done the same thing. So, yes, we were looking forward to the budget, and that's good news,” says Christine Bourgeois.

Electric vehicle owners are taking a beating in the CAQ's latest budget.

In particular, they will have to pay a $125 tax as early as 2027, as do drivers of gasoline-powered cars.

And that's not counting the withdrawal of their benefits on toll highways and ferries.

Disappointed owner

For Tesla owner Mathieu Boulianne, the new constraints will make him think twice about buying his next car.

The Lévis resident, who considers himself a middle-class citizen, admits that the subsidies and all the little perks beforehand enabled him to make a green choice.

“Today's (Tuesday's) announcements are not good news for EV owners,” he says.

Boulianne also sees the luxury tax, which will now apply to EVs over $62,000, as a drag on consumers.

“If I can't afford it, I'll have to go back to gasoline-powered vehicles,” he concludes.