How Will Canada’s Ban on Gas Engines Affect Used Car Buyers?


The recent ban on gas engines by the Canadian government is sure to impact used car buyers significantly. The ban, which comes into effect in 2030, will outlaw the sale of new cars that run on gas. While this law is a positive move for the environment, it’s leaving many used car buyers with questions on how it will affect their future car shopping choices.


This article will look at how used car buyers may be affected by the upcoming ban on gas engines.


What is Canada’s Ban on Gas Engines?

In June of 2021, Canada’s Prime Minister Justin Trudeau announced Canada will ban the sale of new, fuel-burning cars and light-duty trucks by 2035.


The new law will apply to the sale of new passenger vehicles and light-duty trucks. As of 2035, Canadians will no longer be able to purchase a new gas or diesel-powered vehicle for non-commercial use.


Examples of vehicles we will no longer see in a dealerships new car inventory include:


  • Gas-fueled passenger vehicles. This includes cars, minivans, crossovers and SUVs.
  • Gas-fueled light duty trucks. This applies to most pick-up trucks.
  • Diesel fueled passenger vehicles and light-duty trucks
  • Hybrid passenger vehicles and light-duty trucks.


Currently, the law will not apply to selling or purchasing a used gas-powered vehicle manufactured before 2035. This means if you own a car that runs on gas, you don’t have to make the switch to electric any time soon.


Why is Canada Banning Gas Engines?

This measure is in response to climate change and for Canada to become a zero-emission nation by 2050. 


The idea of banning fuel-powered cars is not new; in fact, many countries and cities around the world have been working towards this goal for years. While Canada has only recently made the decision to do so, countries such as the UK and France have been working towards a 2030 target for years.



How Will the Ban Change the Way People Buy Cars in Canada?

While used cars that run on gas will still be available for purchase, there is a good chance that the prices of these cars will start to decrease as demand for them declines. It’s also likely that the number of used gas-powered vehicles available for purchase will lessen as more and more people switch to used electric cars.


However, gas-powered vehicles will remain a staple on Canadian roads for years to come. While the sale of new gas-powered cars is being phased out, many Canadians will continue to choose to buy a used vehicle because of the lower cost and longevity associated with them.


What Can Used Car Buyers Expect in the Next 10 Years?

As Canada plans to phase out gas-powered vehicles by 2035, those of us in the car industry expect to see the following trends emerge:


  • The used car market will see an increase in the amount of used electric vehicles available for purchase.
  • As the availability of used electric vehicles increases, the prices of used electric cars will lower, making them more accessible to used car buyers.
  • There will be fewer used gas-powered vehicles for sale on the market at any given time. As more and more people buy used electric cars, used gas-powered vehicles will be harder and harder to find.
  • Increase in federal government incentives and tax breaks for those who purchase a zero-emission vehicle.


Used electric cars will continue to become more available over the next ten years. Over the next 20 years, used electric cars will likely see a price decrease as demand for them decreases as electric car production increases.


While used gas-powered used cars will likely still be available for purchase, used car buyers will probably see fewer used gas-powered vehicles for sale over the next ten years. 


However, another outcome of this transition is that we will likely see a continual increase in fuel prices.


Gas-powered used cars will still be around following the implementation of this ban in 2035. Still, we will likely see a decrease in the number of used gas-powered vehicles as more and more used electric cars become available.


Howie’s Car Corral – Victoria, BC’s Home for Quality Used Vehicles

As our energy use evolves at Howie’s Car Corral, we will continue to offer our customers only top-quality used vehicles. Our inventory will likely start to see our selection of electric cars begin to grow in the coming years but, our commitment to providing superior customer service will always remain the same.