Villeneuve started competitive driving in local drag-racing events, entering his road car, a modified 1967 Ford Mustang.
He was soon bored by this and entered the Jim Russell Racing School at Le Circuit Mont Tremblant to gain a racing licence.
He then had a very successful season in Quebec regional Formula Ford, running his own two-year-old car and winning seven of the ten races he entered.
The next year he progressed to Formula Atlantic, competing there for four years, running his own car again for one of those seasons.
He won his first Atlantic race in 1975 at Gimli Motosport Park in heavy rain.
In 1976, teamed with Chris Harrison's Ecurie Canada and factory March race engineer Ray Wardell, he dominated the season by winning all but one of the races and taking the US and Canadian titles.
He won the Canadian championship again in 1977.

Money was very tight in Villeneuve's early career.
He was a professional racing driver from his late teens, with no other income.
In the first few years the bulk of his income actually came from snowmobile racing, where he was extremely successful.
He could demand appearance money as well as race money, especially after winning the 1974 World Championship Snowmobile Derby.
His second season in Formula Atlantic was part-sponsored by his snowmobile manufacturer, Skiroule.
He credited some of his success to his snowmobiling days: "Every winter, you would reckon on three or four big spills — and I'm talking about being thrown on to the ice at 100 miles per hour.
Those things used to slide a lot, which taught me a great deal about control.
And the visibility was terrible!
Unless you were leading, you could see nothing, with all the snow blowing about.
Good for the reactions — and it stopped me having any worries about racing in the rain."
Villeneuve started competitive driving in local drag-racing events, entering his road car, a modified 1967 Ford Mustang. He was soon bored by this and entered the Jim Russell Racing School at Le Circuit Mont Tremblant to gain a racing licence. He then had a very successful season in Quebec regional Formula Ford, running his own two-year-old car and winning seven of the ten races he entered. The next year he progressed to Formula Atlantic, competing there for four years, running his own car again for one of those seasons. He won his first Atlantic race in 1975 at Gimli Motosport Park in heavy rain. In 1976, teamed with Chris Harrison's Ecurie Canada and factory March race engineer Ray Wardell, he dominated the season by winning all but one of the races and taking the US and Canadian titles. He won the Canadian championship again in 1977.
Money was very tight in Villeneuve's early career. He was a professional racing driver from his late teens, with no other income. In the first few years the bulk of his income actually came from snowmobile racing, where he was extremely successful. He could demand appearance money as well as race money, especially after winning the 1974 World Championship Snowmobile Derby. His second season in Formula Atlantic was part-sponsored by his snowmobile manufacturer, Skiroule. He credited some of his success to his snowmobiling days: "Every winter, you would reckon on three or four big spills — and I'm talking about being thrown on to the ice at 100 miles per hour. Those things used to slide a lot, which taught me a great deal about control. And the visibility was terrible! Unless you were leading, you could see nothing, with all the snow blowing about. Good for the reactions — and it stopped me having any worries about racing in the rain."
Gilles Villeneuve