Tesla stops taking Model 3 Premium orders in Canada until March 2027, blaming the China import quota

Canadians who want an affordable Tesla Model 3 will have to wait. On Monday, October 12, Tesla stopped taking orders in Canada for the Model 3 Premium, both the rear-wheel-drive and all-wheel-drive versions. Tesla says it has used up its share of Canada's quota for electric cars imported from China, and it does not expect to reopen orders until March 2027.

The only Model 3 still available to order in Canada is the Performance, which is built in Fremont, California.

What Tesla says

According to Tesla's statement, ordering will resume if the Government of Canada issues more quota, which it expects in March 2027. That is when a new quota year starts.

The paused car was a big deal for Canadian buyers. Tesla launched the Shanghai-built Model 3 Premium RWD in Canada in May 2026 at C$39,490, a record low for the car and roughly the price of a base Toyota Camry. Before that, the cheapest Model 3 in Canada was the C$79,990 Long Range AWD from Fremont, which is hit by Canada's 25% counter-tariff on US-made vehicles.

How Canada's China EV quota works

• Tariff: in January 2026, Canada cut its tariff on Chinese-made EVs from 100% to 6.1%, but only for a limited number of cars.
• Cap: the national quota is 49,000 vehicles a year, split into two six-month periods. The quota year runs from March to February, so 49,000 new permits become available on March 1, 2027.
• Allocation: Global Affairs Canada issues permits on a first-come, first-served basis, and the public rules contain no limit per manufacturer.

The numbers do not obviously add up

Here is the puzzle. A government report dated October 9 showed that 33,069 of the 33,397 permits in the current period were still available. In the first window, from March to August, 15,603 of 24,500 permits were claimed, and Tesla accounted for most of them, according to Drive Tesla Canada.

Import data cited by Electrek for EVs valued at C$35,000 or less shows 465 cars in June, 4,743 in July, 2,597 in August, just 7 in September and none so far in October.

So why would Tesla say its allocation is gone? There are two possible explanations, neither confirmed:

• The government can reserve part of the quota for certain automakers, including new entrants. Global Affairs Canada told Drive Tesla Canada it is "consulting with interested companies to optimize remaining quota availability", but would not say whether Tesla faces a company-specific limit, citing commercial confidentiality.
• Tesla's existing order backlog may already cover all the permits it expects to receive before February.

Tesla had a head start because its Shanghai-built cars were already in Transport Canada's certification database in March, while Chinese brands such as BYD and Geely are still building dealer networks.

Why it matters

The pause shows how much trade policy now shapes which Teslas people can buy. The same Model 3 can be a bargain or out of reach depending on where it is built and which tariffs apply. Canada sells about 1.9 million new vehicles a year, so a 49,000-car quota is small, although the deal allows it to grow to 70,000 by 2030.

What to watch next

• Whether Global Affairs Canada publishes any per-company allocation.
• Whether Tesla reopens Model 3 Premium orders before March 2027.
• How quickly BYD, Geely and other Chinese brands start using the remaining permits.