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2026 AutoShow signals shift from EV to IV

Electric vehicles led this year’s event, but artificial intelligence is quickly becoming the industry’s next focus.

Electric vehicles dominated the floor at the 65th Canadian International AutoShow this year, but artificial intelligence is emerging as the industry’s next major innovation.

From expanded EV lineups to conversational AI inside the dashboard, the 2026 AutoShow reflected an industry moving beyond the transition to electric power and into a new phase defined by software, connectivity and national industrial strategy.

Manufacturers filled the Metro Toronto Convention Centre and promoted expanded electric lineups, new battery technology and charging solutions during this year’s auto show. Displays offered detailed information panels on battery life, range and infrastructure, reflecting how electrification has shifted from niche to mainstream.

The Honda Civic was named Canadian Car of the Year, while high-end manufacturers unveiled new models, including the McLaren W1. Cadillac showcased a wide range of electric SUVs and performance vehicles, positioning EVs as central to its future lineup. But beyond the performance debuts, much of the attention centred on electric SUVs and sedans positioned as everyday options for Canadian drivers.

Benjamin Croutner, a fourth-year industrial design student at Humber Polytechnic, said electric vehicles are becoming normalized.

“I think it’s now becoming more accepted and people are actually looking at electric as a viable option,” Croutner said.

“Once you see the Japanese companies starting to get into the EV market, that’s when you know it’s starting to become a big enough thing,” he said.

Public acceptance of EVs appears to be reshaping how automakers compete. While battery-powered models were once the headline innovation, several manufacturers now emphasize software integration and in-car intelligence.

Polestar showcased its partnership with Google that integrates Google Gemini directly into its vehicles.

Olli Nott, a partner manager at Google, demonstrated how the conversational AI system allows drivers to interact with the vehicle beyond traditional voice commands. Cars are built with Google in them.

“We have Google Assistant, Google Maps and Google Play built into the car straight away,” Nott said. “One of the cool things with Google Gemini is we can talk to it more conversationally, we can have more of a conversation.”

Nott said Gemini has been adapted specifically for vehicles and will be rolled out to cars already equipped with Google-built-in systems.

“This is going to come to all vehicles with Google built in, not just the new vehicles,” he said.

The integration allows drivers to plan routes, locate charging stations and receive real-time battery planning.

“It plans all this for you,” Nott said.

Not all electrification on display involved artificial intelligence. Todd Dussault, sales director of Navitas Vehicle Systems in Waterloo, Ont., said his company manufactures small electric drivetrains used in golf carts and industrial vehicles.

Users can connect to the vehicle through a Bluetooth app and adjust settings directly.

“You can log into our Bluetooth app, connect to your vehicle, and you can actually set the speed,” he said. “It’s all programmable through our app.”

When asked whether the system included AI, Dussault said, “There’s not.”

The contrast highlighted how electric powertrains are now common across sectors, while AI integration is emerging more prominently in passenger vehicles.

Innovation was also framed as a national priority.

Project Arrow, the Automotive Parts Manufacturers’ Association’s Canadian-built zero-emission concept vehicle, remained part of the show’s broader message about domestic capability and supply chains.

During a media panel, industry leaders discussed electric vehicle adoption, tariffs and the potential import of Chinese EVs into Canada.

Brian Kingston, president and CEO of the Canadian Vehicle Manufacturers’ Association, said EV sales currently sit at roughly 10 per cent of the market.

“The current government wants to get to 75 per cent by 2035. That is impossible with the current support that we have,” Kingston said.

He pointed to infrastructure gaps, including a deficit of about 60,000 public chargers nationwide.

Kingston warned that trade tensions with the United States pose a larger risk to the industry.

“There is no automotive industry in Canada if we do not have access to the United States,” he said.

The discussion turned to the federal government’s plan to allow a limited number of Chinese vehicles into Canada. Flavio Volpe, president of the Automotive Parts Manufacturers’ Association, said the issue goes beyond pricing.

“There is no benefit to the Canadian auto sector for the import of tariff-free, Chinese vehicles that have no Canadian content,” Volpe said.

Kingston said allowing Chinese vehicles into Canada raises security concerns.

“With respect to safety, it’s really connected vehicle technology,” he said, noting the U.S. also raised concerns about software and hardware transmitting data abroad.

David Adams, president and CEO of Global Automakers of Canada, said affordability remains a central question.

“Whether this transpires into a win for consumers or not remains to be seen,” Adams said.

As electrification accelerates and AI becomes embedded in vehicle systems, manufacturers are balancing technological advancement with affordability, infrastructure and geopolitical realities.