The government is investigating possible improper use of the federal EV rebate program after Tesla’s electric vehicle sales in Canada skyrocketed. The company has sold 8,600 vehicles in just three days and has collected ₹375 crore ($43 million) in subsidies from the program before it was suspended on January 13. One Tesla location in Toronto sold 1,200 units on January 11, and grabbed ₹34 crore ($4 million) in rebates from the government. Signs of irregular activity were also noted in the used car market where prices of some models rose by up to 20% in areas with high concentrations of early adopters of electric vehicles. Industry sources and the Canadian Automobile Dealers Association have expressed doubts over the timing of these transactions and whether Tesla had knowledge of the program’s closure and if the registrations were even genuine. The sales data for the vehicles is now under the scrutiny of officials from Transport Canada. The federal EV subsidy program which has enabled over 500,000 purchases was shut down suddenly due to fears of market distortions. Business is also hurting globally for Tesla, which has only intensified the scrutiny on its practices, and its rivals’ calls for investigations into its practices. In the meantime, the company’s global sales are falling. Latest figures indicate that Germany’s sales are down by 76%, Sweden by 42%, Norway and Denmark by 48%. It has fared even worse in France, Italy, Spain and Portugal — all of which saw double-digit declines as demand continues to tumble.
Tesla's 8,600 Sales in 3 Days Spark ₹375 Crore EV Subsidy Probe
