Canada's consumer rebates for electric vehicles begin Feb. 16.

Federal consumer rebates of up to $5,000 for new battery-electric and fuel-cell vehicles and up to $2,500 for plug-in hybrids will begin Feb. 16 and will be processed at point of sale through dealerships.

Starting Feb. 16, the federal government will make consumer rebates available for some new electric and plug-in hybrid vehicles, and officials said the incentives will be applied at the point of sale through dealerships. Transport Minister Steve MacKinnon announced the details in Ottawa after Prime Minister Mark Carney outlined a five-point strategy for the automotive sector. The measures are intended to make electric vehicles more affordable and to accompany investments in charging infrastructure. Officials also noted recent declines in electric vehicle sales and cited cost and charging access as common barriers. Key details: - Rebates of up to $5,000 apply to new battery-electric and fuel-cell vehicles sold from Feb. 16, 2026. - Purchases of qualifying plug-in hybrid electric vehicles may receive up to $2,500. - The rebates will be processed at the point of sale and built into transactions through dealerships, according to Transport Minister Steve MacKinnon. - Incentives generally apply to vehicles with a purchase price up to $50,000, but that price cap does not apply to models manufactured in Canada. - The government announced more than $84 million in funding across 122 projects to install over 8,000 new electric vehicle charging stations. - Statistics Canada has reported a recent decline in EV sales, with surveys citing perceived higher cost and limited charging access as common concerns. Summary: The rebate program takes effect Feb. 16 and is designed to be delivered at the point of sale through dealerships, while separate funding will support thousands of new charging stations. Officials framed the measures as part of a broader strategy for the automotive sector. Undetermined at this time: the longer-term effects on vehicle sales and emissions.