EV Purchase Consideration Rises in Canada as Cost Pressures Ease, but Practical Barriers Persist, JD Power Finds

Interest in Chinese EV Entrants Signals a Shifting Competitive Landscape in Canada

• First increase in EV consideration since 2022
• Cold-weather performance emerges as a top barrier to EV consideration
• More than half (56%) of shoppers considering an EV are open to selecting a Chinese brand

TORONTO--(BUSINESS WIRE)--The percentage of new-vehicle shoppers in Canada who say they are “very likely” or “somewhat likely” to consider an electric vehicle (EV) for their next purchase has increased to 34%, up from 28% in 2025, according to the JD Power 2026 Canada Electric Vehicle Consideration (EVC) Study,^SM released today. This marks the first increase in EV consideration since tracking began in 2022, following several years of declining or flat consumer interest.

The increase in consideration comes as the policy environment continues to evolve. Canada’s Electric Vehicle Affordability Program (EVAP), introduced earlier this year as a successor to the zero-emission vehicle incentive (iZEV) program, is intended to expand access to incentives and lower upfront costs. However, consumer awareness and understanding remains limited, suggesting many shoppers are still unclear about what support is available and how it applies to their purchase decisions. Overall, 25% of new-vehicle shoppers say that EVAP has positively impacted their likelihood to consider an EV, rising to 57% among those who are already “very likely” or “somewhat likely” to consider an EV for their next purchase.

“A combination of steadily rising fuel prices and the return of tax credit programs like EVAP are spurring rising interest in EVs in Canada,” said J.D. Ney, managing director, JD Power Canada. “But for most shoppers, the deciding factors remain everyday practicality: how far they can drive on a charge, whether charging is reliably available when needed and how EVs perform in Canadian winters. Even with available incentives, these issues will need to be addressed before many hesitant shoppers seriously consider an EV.”

Following are some key findings of the 2026 index:

• EV consideration rises in Canada but still trails U.S.: The percentage of new-vehicle shoppers in Canada who say they are “very likely” or “somewhat likely” to consider an EV for their next vehicle purchase is 34%, up 6 percentage points from last year, while in the United States the share remains significantly higher at 59%,¹ unchanged from 2025. At the same time, nearly half (47%) of Canadian shoppers say they are “very unlikely” to consider an EV, compared with just 20% in the U.S., underscoring greater polarization in Canada even as consideration rises nationally, led by Quebec (+10 percentage points to 42%).
• Openness to Chinese EV brands is high among serious shoppers: Among shoppers who say they are “very likely” or “somewhat likely” to consider an EV, 56% say they would consider a Chinese EV brand, with price point being the dominant driving factor. Even among the overall population, nearly one‑third (31%) are open to a Chinese EV, suggesting a clear opening for such brands to gain share as they enter the market. While the perceived value proposition and in-vehicle technology are consideration drivers for these new market entrants, there is also strong evidence that new-vehicle shoppers in Canada may take a more cautious approach when it comes to the final purchase decision. Quality and reliability, security concerns and a lack of an established retail network/parts availability are all frequently mentioned reasons for avoiding these brands.
• Cold-weather limitations now rank among the leading barriers: Among shoppers who say they are “very unlikely” or “somewhat unlikely” to consider an EV for their next vehicle purchase, limited driving distance per charge remains the most frequently cited obstacle (65%). It is followed by lack of charging station availability (56%) and inadequate performance in extreme temperatures (cold or heat) (54%), the latter newly emerging among the top barriers to consideration. Purchase price drops out of the top tier of concerns, no longer ranking among the leading reasons for low consideration.

The Canada Electric Vehicle Consideration (EVC) Study is an annual industry benchmark for gauging EV shopper consideration. Study content includes overall EV consideration by geography; demographics; vehicle experience and use; lifestyle; and psychographics. It also includes model-level consideration details such as cross-shopping as well as “why buy” findings and analysis of reasons for EV rejection. This year’s study measures responses from 4,938 new-vehicle shoppers and was fielded in March-April 2026.

For more information about the Canada Electric Vehicle Consideration (EVC) Study, visit https://canada.jdpower.com/industries/automotive/canada-electric-vehicle-consideration-evc-study.

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^1 JD Power 2026 U.S. Electric Vehicle Consideration (EVC) Study