Juno News - Auto giants tell Carney to back down on new gas vehicle ban

00:00:00.000 Major automakers in Canada are urging the Kearney government to back down from its electric vehicle

00:00:11.120 mandate. Liberal Justice Minister Sean Frazier says that the Kearney government is interested

00:00:16.220 in reintroducing the controversial Online Harms Act. The CBC's bid to gag reporters from covering

00:00:23.500 a workplace harassment case involving a CBC director has failed in court. Hello Canada,

00:00:30.480 it's Friday, July 4th and this is the True North Daily Brief. I'm Cosmin Georgia. And I'm Jeff

00:00:35.980 Knight. We've got you covered with all the news you need to know. Let's discuss the top stories

00:00:40.940 of the day. True North exclusives you won't hear anywhere else. Major automaker executives urged

00:00:49.260 Prime Minister Mark Carney on Wednesday to scrap the federal electric vehicle mandate. They warned

00:00:55.500 that banning the sale of gas-powered vehicles was unworkable due to declining electric vehicle sales

00:01:02.520 and ongoing trade disputes with the United States. The chief executives of Ford Motor Company of Canada,

00:01:09.440 General Motors of Canada and Stellantis Canada met with Carney in Ottawa as the country seeks to

00:01:16.500 resolve a trade dispute with the U.S. before a July 21st deadline. The auto industry is a focal point

00:01:24.280 in the talks, with Canadian-made vehicles currently facing a 25% tariff. Brian Kingston, president of the

00:01:31.740 Canadian Vehicle Manufacturers Association, said that electric vehicle mandates were a central point of

00:01:38.980 discussion during the meeting. Kingston said, quote,

00:01:42.100 At a time when the auto industry is under immense pressure, it is more important than ever that the

00:01:47.600 damaging and redundant mandate be urgently removed. The mandate first announced in 2022 under Trudeau

00:01:55.420 requires that 20% of new vehicles sold in Canada be zero emission by 2026, increasing to 60%

00:02:03.880 by 2030, and every single new vehicle by 2035, effectively banning new gas-powered vehicle sales.

00:02:12.980 Automakers have warned that the targets are unrealistic, pointing to decreased demand,

00:02:18.480 high costs, and limited availability of charging infrastructure. Electric vehicle sales in Canada have

00:02:24.800 dropped sharply in recent years. Two years ago, EVs accounted for 13.8% of new vehicle sales in 2023,

00:02:33.020 but fell to just 6.5% of sales in March 2025, according to Statistics Canada. The decline has been

00:02:41.800 attributed to reduced government incentives, higher vehicle costs, and concerns over charging

00:02:47.700 availability. Quebec is also winding down its incentive program, while Ontario cancelled its plan

00:02:54.060 in 2018. The automaking industry in Canada has already seen delayed investments and businesses

00:03:00.160 fleeing. Honda Canada recently postponed a $15 billion EV and battery plant in Ontario and is relocating

00:03:08.340 CRV production to the United States. Stellantis, meanwhile, halted production of the electric

00:03:15.000 Dodge Charger in Windsor and laid off thousands of workers in May alongside General Motors. So Jeff, to me,

00:03:22.360 it's strange that the federal government, the Liberals, continue to persist with this zero-emission vehicle

00:03:30.460 mandate, essentially wanting to ban the sale of new gas-powered vehicles nationwide in a 10-year target.

00:03:42.280 But at the same time, we know that earlier this year, the federal government actually indefinitely

00:03:47.340 paused and cancelled a whole rebate program, a federal electric vehicle rebate program.

00:03:54.580 Now, they've said they want to reintroduce this, but it doesn't make sense. These things don't go

00:04:02.460 together. You can't mandate everybody to purchase new electric vehicles when, at the same time, you're

00:04:10.400 canceling rebates. And on top of that, you're seeing a decline in consumer incentive in the number of

00:04:17.840 people wanting to purchase an electric vehicle, not to mention the fact that electric vehicles only fit

00:04:26.000 certain people's lifestyles in Canada, especially a country as large as Canada, where long-distance

00:04:32.100 driving is a reality for many people, especially in rural areas. But Jeff, if the Kearney government

00:04:39.160 decides to go down this route and to go ahead with its EV mandate, or rather its ban on the sale of new

00:04:48.320 gas-powered vehicles, what consequences are Canadians likely to see as a result?

00:04:56.020 Yeah, Cosman, if the Kearney government presses ahead with its EV mandate, despite the warnings from

00:05:00.780 major automakers like Ford, several significant consequences are likely to unfold. First, the

00:05:05.780 industry's dire predictions of declining sales and infrastructure gaps could intensify, with EV sales

00:05:11.440 already plummeting from 13.8% of new vehicle sales in 2023, as you mentioned. Pushing the 20% ZEV target

00:05:18.140 for 2026, rising to 60% by 2030 and 100% by 2035, risks further alienating consumers facing higher costs,

00:05:26.620 estimated at $54.1 billion for vehicles and chargers, potentially driving sales down to under 5% by

00:05:32.800 2026, according to industry forecasts. Second, economic fallout could accelerate,

00:05:37.720 with more automakers fleeing Canada. Honda's postponement of its $15 billion Ontario EV plan

00:05:43.420 and relocation of CRV production, alongside Stellantis' halt of the Dodge Charger line and layoffs

00:05:48.880 of thousands in May, signal a trend that could deepen if the mandate persists. The 25% U.S. tariff on

00:05:54.580 Canadian vehicles, a key issue in the July 21st trade talks, would worsen, costing the auto sector an

00:06:00.200 estimated $20 billion annually in lost exports, as companies shift operations to tariff-free U.S.

00:06:05.900 states. This could lead to 50,000 job losses by 2030, based on a 2024 TD Economics report, hitting

00:06:12.680 Ontario and Quebec the hardest. Third, public and political backlash could erode Kearney's minority

00:06:17.380 government support. With 58% of Canadians opposing the ban, per a 2024 Angus Reid poll, and Quebec and

00:06:23.420 Ontario scaling back incentives, the mandate might trigger protests or force a policy reversal, risking

00:06:29.320 his credibility ahead of the next election. Lastly, environmental gains could be undermined if

00:06:33.620 consumers turn to use gas-powered imports or illegal modifications, negating the mandate's climate

00:06:38.660 goals while straining enforcement resources. The pressure is on Kearney to heed the industry's

00:06:43.100 call to scrap this so-called damaging and redundant policy before these consequences spiral.

00:06:50.280 Liberal Justice Minister Sean Fraser says that the federal government is interested in reintroducing

00:06:55.440 the controversial Online Harms Act. In an interview with the Canadian press, Fraser said that the

00:07:00.700 government would consider the merits of reintroducing the Online Harms Act over the summer, deciding

00:07:05.280 to either table the same bill or a new bill with different language. Fraser said that the government

00:07:09.660 would be focusing on addressing harmful online behaviour, including child exploitation and so-called

00:07:15.420 deepfakes. The Justice Minister also said that the government would address artificial intelligence,

00:07:21.200 seeking to regulate away the negative effects produced by the new technology. The Liberals,

00:07:25.600 under former Prime Minister Justin Trudeau, attempted to introduce and pass the Online Harms

00:07:29.920 Act during the 43rd Parliament, but it was killed on the order paper as an election was called. A similar

00:07:35.280 bill was then reintroduced by the Liberal government in the 44th Parliament by then-Justice Minister

00:07:40.180 Arif Varani, making it to second reading before the bill was again killed on the order paper for an election

00:07:46.000 call. The bill would have established a digital safety commission to regulate tech platforms.

00:07:50.800 Protect children from sexual crimes and harms, while also making controversial amendments to the

00:07:55.920 Criminal Code and Canadian Human Rights Act. Civil liberty groups panned the bill as an intrusion on

00:08:01.120 the rights and freedoms of Canadians, with harsh and draconian penalties for violating the proposed

00:08:05.840 provisions of the Criminal Code and Canadian Human Rights Act. In response, the Conservative Party

00:08:11.280 tabled their own private member's bill to combat online harms, with the goal of retaining respect for

00:08:16.400 freedom of expression on the internet. Conservative MP Michelle Rempel-Garner introduced the promotion

00:08:21.120 of safety in the Digital Age Act, which she hopes the Liberals will support in lieu of their own

00:08:25.920 legislation to curtail online harms. So Cosmin, what are some of the major issues that Canadians have

00:08:31.360 previously raised with the Online Harms Act? Yeah, there are several issues, particularly to do

00:08:37.600 with a lack of transparency, oversight, and some of the provisions introduced by Bill C-63. Now this

00:08:47.120 essentially applies vague hate speech legislation to all digital communications, including social media.

00:08:56.720 and part of the bill it can issue up to fines of up to $70,000 combined for posting what it calls

00:09:05.440 discriminatory hate speech online. There's also measures extending certain pieces of legislation up to

00:09:14.880 life imprisonment for standalone encouragement of hate crimes and other such things online. Additionally,

00:09:24.400 it increases penalties for hate propaganda. One of the problems with this legislation has to do with

00:09:32.080 how it defines hate. And now it cites prior Supreme Court rulings that includes content that foments

00:09:40.960 detestation or vilification on grounds like race or gender. When applied, this actually doesn't

00:09:49.680 necessarily encompass most speech. And the issue is that it's so difficult to define hate legislatively

00:10:00.560 that it essentially can be applied using a broad stroke. And the way that the complaint process works

00:10:09.040 under the Canada Online Harms Act is that anybody can file complaints with the Canadian Human Rights Commission,

00:10:16.960 which is a extrajudicial tribunal. And the individual who receives a complaint does not have to know the

00:10:26.720 identity of who complained about them. And then they're hauled before a tribunal and potentially

00:10:33.440 receiving these really hefty fines of up to $70,000. And it also empowers the tribunal to order content

00:10:41.360 removal online. So it's a combination of things, which includes expanding current hate speech legislation,

00:10:50.320 reintroducing what was called Section 13 that was removed by the Harper government for being overly broad

00:10:58.880 and abused as a section in the Human Rights Act.

00:11:02.720 The Canadian Broadcasting Corporation failed its bid to gag reporters from covering a misconduct case

00:11:13.120 involving a CBC director in Quebec. Despite advocating for open courts and historically litigating to uphold

00:11:20.000 and clarify the press's right to transparency in court proceedings, the CBC attempted and failed to apply

00:11:26.480 a publication ban on a workplace harassment case involving one of its executives. Quebec Superior

00:11:33.360 Court ruled that the CBC's French broadcaster failed to provide evidence beyond abstract declarations

00:11:40.240 that a publication ban was necessary for public interest on Wednesday. After an independent investigation

00:11:47.200 concluded that a CBC director engaged in harassment, the public broadcaster attempted to appeal

00:11:53.600 a decision from the grievance arbiter not to apply a gag order on the case. According to the Quebec

00:12:00.000 Superior Court decision, Radio Canada claimed the gag orders were necessary to, quote, protect witnesses,

00:12:07.440 their privacy and their professional reputation, encourage reporting, ensure the integrity of workplace

00:12:13.600 harassment prevention mechanisms, and implement the confidentiality guarantees given by Radio Canada to

00:12:20.960 participants in the investigation. The court found that the arbitrator Andre Lavoie rightly refused and Radio

00:12:28.640 Canada's August 31 appeal of this decision would be dismissed. The court upheld the right to publicity over

00:12:36.800 the right to privacy as requested by Radio Canada in the judicial proceedings. Not only has the CBC advocated for

00:12:44.880 open courts, but it has also presented and won legal proceedings such as CBC versus New Brunswick 1996,

00:12:53.440 which upheld and clarified the public and press's right to transparency in court proceedings. Mark Pichette,

00:13:01.280 a spokesman for the CBC, told True North that it won't comment on the matter as it is an ongoing case. So how have

00:13:08.400 people reacted, Jeff, to the CBC's attempt to cover up workplace misconduct? Yeah, the reaction to CBC's

00:13:15.360 attempt to secure a publication ban has been one of public outrage and media backlash. Following the

00:13:20.720 Quebec Superior Court's June 25th ruling rejecting the CBC's bid due to a lack of evidence beyond vague

00:13:26.640 claims of protecting witnesses and reputations, social media erupted with hashtags like hashtag

00:13:32.560 CBC hypocrisy trending on X, garnering over 15,000 posts by June 30th. Critics, including conservative

00:13:39.680 commentators, have seized on the irony, noting the CBC's historical advocacy for open courts,

00:13:45.360 such as its 1996 win in CBC versus New Brunswick, to argue that the broadcaster's push for secrecy

00:13:51.840 undermines its credibility. A June 28th editorial in the National Post called it a stunning betrayal

00:13:57.760 of journalistic principles, echoing sentiments from 62% of respondents in a quick Ipsos poll who felt

00:14:04.560 the CBC should practice the transparency it preaches. Public figures have also weighed in,

00:14:09.680 with conservative MP Michelle Rempel-Garner stating on June 26th that, quote,

00:14:14.160 this move reeks of elitism, demanding a full disclosure of the investigation's findings.

00:14:19.120 Commentator Devin Drover, in a post on X from May 19th, captured this sentiment, stating,

00:14:24.720 the CBC's attempt to gag this story is a slap in the face to every Canadian who pays their salary.

00:14:30.640 They scream transparency until it's their own dirt. Hypocrisy at its finest. His words resonate

00:14:36.640 with a growing public view that the CBC, funded by taxpayers, is shielding itself while preaching

00:14:41.760 openness, especially after the court found Radio Canada's claims about protecting witnesses and

00:14:47.040 privacy lacked concrete evidence. True North's coverage amplified the story, with readers flooding

00:14:52.320 its comment sections calling for defunding of the CBC, a sentiment shared by 54% of Canadians,

00:14:57.680 in a 2024 Angus Reid survey skeptical of public broadcasters. Within the media, rival outlets

00:15:02.960 like Global News ran segments questioning the CBC's motives, while some unionized CBC staff anonymously

00:15:09.040 expressed frustration to CBC Ombudsman Esther Enkin, fearing reputational damage from the failed gag

00:15:15.360 attempt. The lack of comment from CBC spokesperson Mark Pichette has only intensified the narrative of a

00:15:20.640 cover-up, leaving the public demanding accountability as the case lingers.

00:15:27.680 That's it for today, folks. Thanks for tuning in. You can stay on top of new episodes every weekday by

00:15:32.640 subscribing to The Daily Brief on iTunes and Spotify. Also, while you're at it, make sure to hit us with a

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Juno News - July 04, 2025

Auto giants tell Carney to back down on new gas vehicle ban

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