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Canada has proposed aligning electric vehicle tax policy with U.S. to settle dispute

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© Reuters. FILE PHOTO: Canada’s Prime Minister Justin Trudeau speaks throughout Query Interval within the Home of Commons on Parliament Hill in Ottawa, Ontario, Canada December 8, 2021. REUTERS/Blair Gable

OTTAWA (Reuters) – Canada has proposed aligning its electrical car tax coverage with that of the USA to settle a dispute over proposed U.S. credit for American-made autos, Prime Minister Justin Trudeau informed reporters on Monday.

Canada dramatically hardened its tone with Washington on Friday, threatening to slap tariffs on a spread of American items except the matter was resolved. Ottawa says the credit would badly injury its auto trade.

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