Tesla appears to be preparing to sell US-made Model 3s in Canada again, after its Shanghai-built cars ran out of import quota in just four months. According to Chinese tech outlet Kuaikeji, Tesla Canada's website recently updated the specifications for the Model 3 Premium rear-wheel-drive (RWD) version, showing a range increase from 463 km to 584 km and a 0-100 km/h sprint time cut from 6.2 seconds to 5.2 seconds. The curb weight is listed at 1,745 kg.
These figures match the Fremont-built long-range RWD Model 3 sold in Canada two years ago, and are also consistent with the US-market Model 3 Premium RWD (EPA range 363 miles, about 584 km, 0-100 km/h in 4.9 seconds). The implication, Kuaikeji says, is that Tesla may be re-shipping US-made Model 3s to Canada to replace the Shanghai-made version, which was discontinued after its quota was exhausted.
Quota and tariff squeeze
In May this year, Tesla introduced the Shanghai-made Model 3 Premium RWD to Canada at a price of 39,490 Canadian dollars (about 190,000 yuan / roughly $26,800). That low price made it a hit, but the entire annual import quota was used up in just four months. On October 12, Tesla Canada stopped accepting orders for the model, with a message saying orders could resume in March 2027 if the Canadian government issues more quota. As of October 9, the federal quota tracker showed 33,069 permits still unused, but Tesla's share was already gone.
The quota issue stems from Canada's tariff policy on Chinese-made EVs. In October 2024, Canada imposed a 100% surtax on Chinese EVs, later reduced to a 6.1% tariff for vehicles within the quota. That preferential rate allowed the Shanghai-made Model 3 to be sold at 39,490 Canadian dollars. Once the quota ran out, imports from Shanghai became uneconomical.
If Tesla switches to Fremont-built cars, it faces another cost hurdle: since April 2025, Canada has imposed a 25% retaliatory tariff on US-made vehicles. This tariff had earlier forced Tesla to raise the price of the Model 3 Long Range AWD by 11,000 Canadian dollars to 79,990 Canadian dollars, and to discontinue the 55,990 Canadian-dollar Long Range RWD version. In March, Tesla cleared out its remaining US-made Model 3 inventory in Canada, then switched to Shanghai-built cars in May, which enabled the low price.
Price could double
Applying a similar price increase, a Fremont-built Model 3 Premium RWD in Canada would likely cost between 65,000 and 67,000 Canadian dollars (about 310,000 to 320,000 yuan / $43,700 to $45,100). That would be well above the 50,000 Canadian-dollar cap for Canada's new 5,000 Canadian-dollar EV affordability incentive. Although US-made vehicles qualify under the CUSMA trade agreement, the price threshold would leave most buyers ineligible for the subsidy.
The move underscores how trade barriers are reshaping Tesla's North American supply chain, forcing the company to juggle tariffs, quotas, and consumer demand. For Canadian buyers, the days of a cheap Shanghai-built Model 3 appear to be over, at least for now.
