Extend trailer GHG standards suspension

Summary#

The Governor in Council approved an interim order that keeps certain vehicle emission rules in Canada aligned with recent changes in the United States. The action mainly delays applying greenhouse gas standards for trailers and updates how some light‑duty plug‑in hybrid vehicles and medium‑duty passenger vehicles are treated for reporting and credits.

What it does#

• Approves the Interim Order Modifying the Operation of Certain Regulations Made Under the Canadian Environmental Protection Act, 1999, made by the Minister on November 24, 2025, and extends it for up to one year from that date.
• Suspends the greenhouse‑gas (GHG) emission standards for certain trailers in the Heavy‑duty Vehicle and Engine Greenhouse Gas Emission Regulations so those trailer rules do not come into force in Canada while the United States’ rules have changed.
• Updates the reference used to calculate the fleet‑average carbon exhaust value for light‑duty plug‑in hybrid vehicles in the Passenger Automobile and Light Truck Greenhouse Gas Emission Regulations, so companies can keep doing the required calculations.
• Revises the definition of “medium‑duty passenger vehicle” in the On‑Road Vehicle and Engine Emission Regulations to match the U.S. change that increases the gross vehicle weight rating (GVWR) range from more than 8,500 pounds and less than 10,000 pounds to between 8,500 pounds and 14,000 pounds (the larger range begins with model year 2027).

Who's affected#

• Trailer manufacturers and trucking companies in Canada. Small Canadian trailer makers are highlighted as particularly exposed if Canada moved ahead alone.
• Automakers and importers who must report under the Passenger Automobile and Light Truck Greenhouse Gas Emission Regulations or the Heavy‑duty Vehicle and Engine Greenhouse Gas Emission Regulations.
• Companies that need to calculate emissions for plug‑in hybrid electric vehicles or that rely on credits for certain heavier passenger vehicles.
• The change is intended to keep Canada aligned with actions by the U.S. Environmental Protection Agency (EPA) and related U.S. rules, so businesses that operate across the North American market are most affected.

Why it matters#

• It avoids creating a competitive disadvantage for Canadian trailer makers and trucking firms by keeping Canada aligned with the U.S. rules while U.S. requirements have changed.
• It delays some expected GHG reductions: about 0.7 megatonnes (Mt) CO2e lost for trailers of model year 2027, and roughly 3.8 Mt CO2e when counting trailers of model years 2020–2027 over part of their lifetime (2020–2050).
• It keeps reporting and credit rules workable for many automakers, reducing administrative hurdles and letting them continue to claim credits for certain vehicles rather than being pushed into heavy‑duty rules.
• The approval is temporary (up to one year from November 24, 2025) while Canada considers longer‑term regulation changes and continues discussions with industry.