The Canadian EV market has demonstrated solid growth this year. In addition, the Canadian Environment Minister is pushing to mandate the sale of a certain number of EVs by the end of 2022. The Canadian EV market shows significant growth prospects, bolstered by the country’s net zero-emission targets and supportive government policies. Wall Street analysts see a more than 95% upside in Canadian EV stocks Electrameccanica (SOLO), GreenPower (GP), and Vicinity Motor (VEV). Concerns about the environment and climate change drive the world to look for cleaner alternatives and shift away from combustion fuels. Canadian EV market share has remained steady over the first three quarters of 2021, with one in 20 registered vehicles being an EV. According to the IHS Markit Automotive Insights report, Canada’s battery electric vehicles registration increased 67% year-over-year in the third quarter of 2021.
Canadian Environment Minister Steven Guilbeault has expressed that he wants a national mandate that would compel automakers to sell a certain number of EVs by the end of 2022, also aligned with the target of attaining net-zero emissions by 2050 in the country. Moreover, to settle a dispute with the United States over tax credits on the U.S.-made EVs, Canada proposed to align its EV taxation policy with its neighbor. Prime Minister Justin Trudeau announced consideration of joint EV rebates between the countries to make sure no country gets an unfair trade advantage.
Given this backdrop, Wall Street analysts expect Canadian EV stocks Electrameccanica Vehicles Corp. (NASDAQ:SOLO), GreenPower Motor Company Inc. (GP), and Vicinity Motor Corp. (VEV) to rally more than 95% in the near term.