EV purchase consideration is up in Canada as gas prices cling and cost pressures ease, though practical barriers persist, J.D. Power has found in its latest annual study. Given the tough couple of years for electrification we’ve just witnessed in North America, it’s enough to give automakers whiplash.
For the first time since tracking began in 2022, consumer interest in electric vehicles (EVs) is on the upswing in Canada. According to the newly released J.D. Power 2026 Canada Electric Vehicle Consideration (EVC) Study, the percentage of new-vehicle shoppers who say they are “very likely” or “somewhat likely” to consider an EV for their next purchase has risen to 34 percent, up from 28 in 2025.
This rebound follows several years of declining or flat consumer interest across the country.
Rising and falling prices
The shift is largely driven by a combination of steadily rising fuel prices and evolving policy incentives, notably the introduction of Canada’s Electric Vehicle Affordability Program (EVAP) earlier this year. Serving as the successor to the previous iZEV program, EVAP offers up to $5,000 for qualifying EVs and up to $2,500 for plug-in hybrids.
While purchase price has consequently dropped out of the top tier of consumer anxieties, J.D. Power notes that awareness surrounding the new rebate program remains limited. Many shoppers remain unclear about what support is available or how it applies to their final purchase decision.
Despite the positive momentum, the study highlights a profound polarization in the Canadian market, especially when compared to the United States. While 59 percent of American buyers are open to an EV, Canada's national average of 34 percent, led heavily by a 10-percentage-point surge in Quebec to 42 percent, still trails significantly.
Furthermore, nearly half of Canadian shoppers (47 percent) say they are “very unlikely” to consider an EV, compared to a mere 20 percent south of the border.
“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 of J.D. Power Canada. “But for most shoppers, the deciding factors remain everyday practicality.”
Range, charging availability still influencers
For hesitant buyers, those practical barriers hit close to home. Among respondents unlikely to consider a battery-electric model, limited driving distance per charge remains the chief obstacle at 65 percent, followed closely by a lack of public charging infrastructure at 56 percent.
Notably, inadequate performance in extreme temperatures, specifically cold-weather limitations, has newly emerged as a leading barrier, cited by 54 percent of respondents wary of how EVs handle harsh Canadian winters.
Chinese EVs? Bring ‘em on
The 2026 study, which surveyed 4,938 new-vehicle shoppers in March and April, also revealed a surprising openness to incoming market entrants. Among serious EV intenders, 56 percent stated they would consider a Chinese EV brand, drawn primarily by aggressive price points and advanced in-vehicle technology. Even among the general car-buying population, nearly one-third (31 percent) expressed openness to Chinese models.
See: What Chinese EVs Might Canadians See First Under Tariff Deal?
However, this interest is balanced by distinct caution. Buyers frequently cited concerns regarding vehicle quality, long-term reliability, security issues and the lack of an established domestic retail and parts network.
Ultimately, while financial incentives have successfully lowered the entry cost barrier, the path to widespread EV adoption in Canada hinges on structural improvements. Until charging networks expand and range anxieties — especially in freezing conditions — are mitigated, a significant portion of the Canadian market remains firmly parked on the sidelines.