Ottawa has been warned that sweeping changes to U.S. climate regulations could undo more than a decade of progress on vehicle emissions, even as cabinet remains silent on a long-promised review of Canada’s own electric vehicle mandate.Blacklock's Reporter says a Department of Environment briefing note says a proposed repeal of U.S. climate rules would amount to a setback of “at least 15 years” for the auto sector if Washington follows through. The warning comes as cabinet has yet to release the results of its review of Canada’s electric vehicle availability standard, despite a Dec. 31 deadline.The Sept. 19 briefing note said the U.S. Environmental Protection Agency is considering rescinding a 2009 Endangerment Finding that forms the legal foundation for vehicle greenhouse gas regulations. If repealed, the department warned, all on-road vehicle emission rules in the U.S. would fall, with legal challenges expected and no clear timeline for resolution.The note followed a Sept. 5 cabinet decision to delay enforcement of Canada’s Electric Vehicle Availability Standard, which requires a minimum 20% of new vehicle sales to be electric starting with the 2026 model year. That same day, cabinet ordered a 60-day review of regulations aimed at banning new gasoline and diesel passenger vehicle sales by 2035. The review concluded Nov. 4 but has yet to be made public..Mark Cauchi, a director general at the environment department, told MPs at the Commons environment committee on Nov. 3 that the review acknowledged automakers are facing volatile market conditions. He said no decisions on regulatory changes had been made and promised an update by the end of the year, a deadline that passed without explanation.Cauchi testified the department plans to publish proposed regulatory changes in the winter of 2026, followed by further consultations before final amendments later that year.Federal officials estimate the proposed restrictions on gas-powered vehicles would cut greenhouse gas emissions by 362 million tonnes over 25 years. .Critics dispute claims that electric vehicles automatically deliver health benefits and cost savings.Conservative MP Carol Anstey questioned the need for mandates during committee hearings, saying the policy appears disconnected from market reality. She told MPs that dealers in her Newfoundland and Labrador riding are stuck with unsold electric vehicles sitting on lots, tying up capital and threatening the survival of small businesses.“If the benefits are really that great, why the mandate?” Anstey asked, arguing the government’s approach risks harming dealers while leaving consumers unconvinced.
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