Toronto

A Toronto councillor wants to drive Tesla out of town. But the city says it hasn't broken any bylaws

Toronto's deputy mayor says he wants to drive Elon Musk's electric vehicle company Tesla out of town because of the tech mogul's affiliation with U.S. President Donald Trump, who's taken aim at Canada with a spate of recent tariff announcements.

Coun. Mike Colle asking Yorkdale Shopping Centre to cancel company's lease

Deputy Mayor Mike Colle says he wants the Tesla dealership in his ward at Yorkdale Shopping Centre, shuttered. So far, Oxford Properties, the owner of the mall, hasn't responded to requests for comment.
Deputy Mayor Mike Colle says he wants the Tesla dealership in his ward, at Yorkdale Shopping Centre, shuttered. So far, Oxford Properties, the owner of the mall, hasn't responded to requests for comment. (Mike Smee/CBC)

Toronto's deputy mayor says he wants to drive Elon Musk's electric vehicle company Tesla out of town because of the tech mogul's affiliation with U.S. President Donald Trump, who's taken aim at Canada with a spate of recent tariff announcements.

Mike Colle has written to the real estate management firm Oxford Properties, which owns Yorkdale Shopping Centre, asking it to cancel the lease of the mall's Tesla dealership.

The mall is located in Colle's Eglinton-Lawrence ward, and although his letter, sent Tuesday, is aimed at the Yorkdale Tesla dealership specifically, the councillor says he'd like to see the company forced out of Toronto altogether.

"People are really angry with anything to do with Tesla, and they're also letting me know they're not happy with the fact that there's a Tesla retail outlet in my ward," Colle told CBC Toronto.

"I'm cordially asking the owners of Yorkdale Plaza, would you please consider terminating their lease or asking them to leave."

CBC Toronto has not seen Colle's letter. The councillor declined to share a copy before receiving a response from Oxford.

It's unclear when Tesla's lease at the mall expires and on what specific grounds Colle has asked that it be terminated. 

Colle has also not brought the idea a city-wide push against Tesla to Toronto city council, saying there's little the city could do to force the company out.

Instead, he refers to his letter as "a polite, aggressive ask."

Tesla Canada has not violated bylaws, city says

Colle said he sent his letter to Oxford on the same day council approved a motion by Mayor Olivia Chow disqualifying future Tesla drivers from the city's Zero Emissions Grant program for vehicles-for-hire.

When asked earlier this week whether she was targeting Tesla because it is owned by Musk rather than other American companies that make electric vehicles, Chow said: "You can draw whatever conclusion you want." 

CBC Toronto asked Chow for comment on Colle's letter. The mayor did not respond. 

The Tesla showroom at Yorkdale Shopping Centre could be a thing of the past if Coun. Mike Colle gets his way. He says the company's CEO, Elon Musk, is one of the people behind the widespread tariffs that US President Donald Trump has threatened to place on Canadian goods.
The Tesla showroom at Yorkdale Shopping Centre could be a thing of the past if Coun. Mike Colle gets his way. He says the company's CEO, Elon Musk, is one of the people behind the widespread tariffs that U.S. President Donald Trump has threatened to place on Canadian goods. (Mike Smee/CBC)

Tesla and its Canadian offices have so far not responded to calls or emails from CBC Toronto.

Oxford Properties has also not yet responded to requests for comment.

A spokesperson for Yorkdale Shopping Centre told CBC Toronto in an email the mall will "continue to ensure we comply with our contractual obligations and all local, provincial, and federal legislation regarding mall operations."

Meanwhile, city spokesperson Shane Gerard confirmed in an email Friday that Tesla Canada has not violated any city bylaws.

"Tesla Motors Canada ULC., operating as Tesla Motors, currently holds five active public garage licences. Enforcement, including potential licence revocation, pertains mostly to businesses operating without this licence or not complying with license conditions. The city is not aware of any breaches of Chapter 545 by Tesla Motors," he wrote.

'A very risky course,' says councillor opposing move

At least one councillor believes Colle is heading down the wrong road.

James Pasternak, who represents neighbouring York Centre, said it makes no sense to make Canadian Tesla workers suffer during the current trade dispute with the U.S., no matter what one thinks of the current administration there.

Main in a suit sitting at a desk with his finger raised in the air.
Coun. James Pasternak says the city should be encouraging businesses, not trying to force them out. (David Donnelly/CBC)

"We're running down a very risky course here when we're chasing out businesses, trying to close down businesses, in which a distant CEO is making comments we find offensive," he said. "I don't think we should be causing people to lose their jobs."

Pasternak also said it's unlikely the city could find a way to force Tesla out of town, since the company is doing nothing illegal, and violating no bylaws. He said it should be left to individuals to decide whether to purchase products made by companies they disagree with.

He also said he's worried about possible legal repercussions the city could face for trying to punish a company that has technically done nothing wrong.

Musk, Tesla's CEO, has become a close associate of the U.S. president. Late last year, Trump appointed him head of a new agency, the Department of Government Efficiency, tasked with ferreting out potential savings in government spending. 

It's not clear what, if any, role Musk has played in the drafting of Trump's tariff policies.

As for the employees who'd be out of work if the Yorkdale location is closed, Colle said: "It's unfortunate, but I'm more worried about the 500,000 Ontarians who are going to be thrown out on the street as a result of the Musk-Trump tariffs."

On Monday, the U.S. imposed a 25 per cent tariff on steel and aluminum imports from Canada and other countries.

Last month, Premier Doug Ford estimated broader U.S. tariffs on Canadian products — which so far have not come to pass — could cost Ontario up to 500,000 jobs.