Trudeau planning to add new tax on trucks and SUVs in effort to reduce emissions

The Trudeau government is planning to introduce a new tax to Canadians on their trucks and sport utility vehicles. 

The proposed tax would cost an extra $1,000 on a Ford F-150, and a Ram 3500 heavy-duty pickup truck would get hit with a $4,000 tax.

This new tax bill was not mentioned by either Prime Minister Justin Trudeau nor his Environment Minister Steven Guilbeault when they held a recent press conference. The recommendation to hit trucks with a big tax is noted in a new 271-page report from the Ministry of the Environment posted on the Government of Canada website on March 31st, 2022.

“This is our ambitious and achievable roadmap to reach our emissions reduction targets,” writes Guilbeault in the opening of the report.

The report recommends broadening an existing tax that currently hits large SUVs so that it would also hit trucks such as Ford F-150s, Toyota Tacomas, Chevrolet Silverado 1500s and Dodge Rams.

The tax bill would range from $1,000 for light duty pickups to $4,000 for the super duty trucks that tow horse trailers and construction equipment. These pickups are also the most popular-selling vehicles in Canada.

The current tax hits new SUVs that use more than 13 liters of fuel per 100 km. For example, the GMC Yukon Denali and the Lincoln Navigator are currently subject to the tax. Ottawa also hits the Nissan Armada with a $3,000 tax bill.