Canada Considers Tariffs on Chinese EVs Similar To US and EU Moves

ALTERNATIVE POWER REPORT
Guy Youngs
Guy Youngs

The Canadian government is preparing tariffs on Chinese-made EVs to align with the US and European Union, which have already proposed heavy duties to deter “unfair” competition imported from overseas

The country holds strong ties with the US and EU and looks to align with its trade partners in solidarity while blocking a potential loophole China could use to enter North America.

Source: Electrek: Read The Article

PSR Analysis:  Canada is still in the early stages of these tariffs, with discussion ongoing. Prime Minister Trudeau has not publicly committed Canada to imposing tariffs on Chinese EVs, stating the cabinet is monitoring the situation closely.   PSR

Guy Youngs is Forecast & Adoption Lead at Power Systems Research

Chinese Joint Venture Begins Mississippi Battery Plant

CHINA REPORT
Jack Hao
Jack Hao

ACT Company (AMPLIFY CELL TECHNOLOGIES LLC ), a Chinese a joint venture company, has broken ground for a battery production plant in Mississippi.

ACT Company was established by EVE Energy’s wholly owned subsidiary EVE Energy US, Cummins, Daimler Trucks, and Paccar. The joint venture will produce prismatic lithium iron phosphate batteries, mainly for designated North American commercial vehicle applications. It will have an annual production capacity of about 21GWh and will provide more than 2,000 local jobs.

The project is expected to start shipping in 2026, and the three foreign enterprises and their affiliates will become the main customers, purchasing most of the products from the factory.

ACT Company is the first project of EVE Energy’s CLS model, aiming to enhance the flexibility and competitiveness in the global cooperation process, and to work with more partners to jointly promote sustainable development. The successful beginning of this project marks the entry of EVE Energy into a new stage of global development.

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2024 North America Scooter Production

DATAPOINT REPORT

175,300 units is the estimate by Power Systems Research of the number of Scooters expected to be produced in North America in 2024.

Scooters/Minibikes/Mopeds are motorized 2-wheeled vehicles used primarily for recreation, although they are used for primary transportation in many cases.

It’s important to note that Go-Ped manufactures stand-on scooters. 

This product information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers. PSR

Carol Turner is Senior Analyst, Global Operations, for Power Systems Research

Diesel Demand Hits 26-Year Low

US diesel demand plummeted to its lowest seasonal level in 26 years in Q1 2024. The production of distillate, the petroleum-based fuel that powers trucking, heating, and heavy industry, plunged to 3.67 million barrels per day in March (down from more 4.1 million barrels last year) according to monthly data from the US Energy Information Administration.

Even in diesel-loving Europe, the diesel engine is dying. Volvo, for example, recently built its last-ever diesel vehicle, and companies like Nissan, Hyundai, and Daimler (parent company of Mercedes-Benz and the Freightliner and Rizon truck brands) have also backed away from developing new internal combustion engines.

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North America and Europe MHCV Alternative Power Update

Chris Fisher
Chris Fisher

As the governments of Europe and North America (U.S. and Canada) continue to push for a transition from fossil fuel powered vehicles to zero-emission vehicles, a number of significant barriers to adoption will continue to hamper this initiative.  

Significant barriers to adoption of zero-emission vehicles include the total cost of vehicle ownership, a lack of charging and grid infrastructure, truck resale values and duty cycle issues.  The primary types of alternative propulsion that are in focus include Battery Electric, Hydrogen Fuel Cell and Hydrogen ICE engines and to a lesser degree, Natural Gas and Biodiesel ICE engines. The vast majority of the medium and heavy commercial vehicle industry support the transition to zero-emission vehicles but the short timeline for implementation is causing great concern throughout the industry.

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Volvo To Build Truck Plant in Mexico

GLOBAL REPORT
Chris Fisher
Chris Fisher

In April 2024, Volvo announced that it will build a heavy-duty truck manufacturing plant in Mexico to supplement the Group’s U.S. production. The plant will provide additional capacity to support the growth plans of Volvo Trucks and Mack Trucks in the U.S. and Canadian markets, and support Mack truck sales in Mexico and Latin America.  The plant is expected to be operational in 2026. 

The new plant will be approximately 1.7 million square feet in size, and will focus on production of heavy-duty conventional vehicles for the Volvo and Mack brands. It will be a complete conventional vehicle assembly facility including cab body-in-white production and paint.  At the time of this writing, Volvo has not announced the location of the new production facility.

Source: Volvo AB

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Alternative Power Report, May 2024

The May 2024 Alternative Power Report from Power Systems Research features several stories on Chinese EVs and the impact they are having on European and US markets. There also are stories on hydrogen development and hydrogen fueling stations. PSR

2024 NA Skid Steer Production        

96,000 units is the estimate by Power Systems Research of the number of Skid Steer Loaders expected to be produced in North America (US and Canada) in 2024.

A Skid Steer Loader also known as a Skid Loader, Skid-Steer Loader, or Skidsteer, is a small rigid frame, engine-powered machine with lift arms used to attach a wide variety of labor-saving tools or attachments.

Four major uses for Skid Steer Loaders are: Agricultural, 29%; Rental Fleets, 22%; Construction, 20%, and Landscape, 12%.

This product information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers. PSR

Carol Turner is Senior Analyst, Global Operationsat Power Systems Research

2024 Trencher Production: 4,800 Units

4,800 units is the estimate by Power Systems Research of the number of Trenchers expected to be produced in North America in 2024.

Trenchers, typically wheeled or chain, are used in a variety of applications; these machines are quite diversified for various markets having a wide range of clients. Trenchers are more precise at digging as opposed to excavators that are popular machinery for construction needs. 

This product information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers. PSR

Carol Turner is Senior Analyst, Global Operations at Power Systems Researech