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Globe says BMO's Johnson sees EVs rise from the dead

2026-05-01 07:48 ET - In the News

See In the News (C-BMO) Bank of Montreal

The Globe and Mail reports in its Friday edition that federal electric-vehicle incentives and surging gasoline prices are boosting sales of EVs again, after purchases slowed last year. The Globe's Maia Tustonic writes that more than 12,600 zero-emission vehicles were sold in February, compared with nearly 8,700 the month before, according to recent Statistics Canada data. Sales peaked at more than 30,000 in September, 2024. Experts expect sales to continue rising, as consumers take advantage of Ottawa's EV Affordability Program, and seek relief from inflated gas prices, owing to the continuing conflict in the Middle East. The program, which allocates $2.3-billion in total over a period of six years, offers $5,000 off a new EV this year, with lower rebates to follow. It is all part of the government's initiative to have EVs make up 75 per cent of national vehicle sales by 2035. Recent underperformance in the EV sector has been driven in part by costly price tags and a one-year gap between the end of the federal EV rebate in January, 2025, and this year's EV purchase and leasing incentives, which went into effect in February. The market essentially "collapsed" in 2025, BMO senior economist Erik Johnson told The Globe.

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