EVAP Portal Goes Live: How to Claim Your $5,000 Federal EV Rebate

Covering the latest developments in Chinese electric vehicles and their impact on the Canadian automotive market.
Key Takeaways
- Canada's federal electric vehicle rebate program has officially changed its name and its rules.
- The rebate amounts are straightforward:
- This is where it gets tricky.
The EVAP Portal Is Officially Open
Canada's federal electric vehicle rebate program has officially changed its name and its rules. The EVAP (Electric Vehicle Affordability Program) portal opened to dealerships on March 31, 2026, with a full public launch on April 1. This is no longer the old iZEV program — it is an entirely redesigned system with $2.275 billion in remaining funding and rules that reshape the playing field.
The most fundamental change: EVAP uses the final transaction value rather than the manufacturer's MSRP to determine eligibility. In practical terms, this means options, dealer fees, and accessories installed at delivery all count toward the $50,000 cap.
How Much Can You Get?
The rebate amounts are straightforward:
- $5,000 for a battery-electric vehicle (BEV) or fuel cell vehicle
- $2,500 for a plug-in hybrid (PHEV)
- $4,000 for BEVs starting January 1, 2027 (scheduled reduction)
The rebate applies to purchases and leases. For leases, the minimum term is 48 months to receive the full amount. Shorter leases receive a prorated amount.
The $50,000 Transaction Cap: What Counts and What Doesn't
This is where it gets tricky. The $50,000 final transaction value includes:
- The vehicle's base price
- All options and packages (panoramic roof, premium paint, etc.)
- Dealer fees
- Accessories installed at delivery
What is not included in the calculation:
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- Taxes (GST, QST, HST)
- Freight and PDI charges
- Winter tires
- Extended warranties
- Insurance products
Major exception: Canadian-made EVs have no price cap whatsoever. A $55,000 Chevrolet Equinox EV built in Ingersoll, Ontario qualifies. A $44,990 BYD Seal built in China does not — regardless of price.
The 35 Eligible Vehicles
Transport Canada has confirmed an initial list of 35 vehicles eligible for the EVAP program. The most popular models include:
- Tesla Model 3 (base trims under $50,000)
- Chevrolet Equinox EV (Canadian-made — exempt from the cap)
- Hyundai Kona Electric
- Nissan LEAF
- Kia EV6 (base trims)
Chinese-built EVs — including BYD, NIO, XPeng, and Shanghai-made Tesla Model Ys — are not eligible. The program requires vehicles to be manufactured in Canada or a free-trade partner country.
How to Apply
The process is handled by your dealership:
- 1Purchase or lease an eligible EV at a participating dealership
- 2The dealer submits the application through the EVAP portal
- 3The rebate is applied directly to the purchase price or deducted from your lease payments
- 4You do not need to fill out any forms personally
Processing time is estimated at 2-4 weeks after the dealer's submission.
Impact for Quebec Buyers
In Quebec, you can stack the federal EVAP rebate with the provincial Roulez Vert program's $2,000 rebate (reduced from $7,000 in January 2026, program ending December 2026). For an eligible EV under $50,000, you could receive up to $7,000 in combined rebates.
Concrete example: a 2026 Hyundai Kona Electric at $42,999 would come down to $35,999 after federal and provincial rebates. That is the kind of math that makes EVs competitive with gas vehicles.
For more details on provincial incentives, see our Quebec EV incentives guide. Also check our Chinese EV Canada tracker to see which models are arriving soon.
FAQ
Does EVAP replace iZEV?
Are Chinese EVs eligible for the EVAP program?
Does the $50,000 cap include taxes?
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