The Canadian Prime Minister announces a 25% tariff on imported cars from the United States.
Mark Carney, the Prime Minister of Canada, speaking to reporters.
In response to U.S. actions, the Canadian government will impose a 25% tariff on all cars imported from the United States that do not comply with the KUSMA or NAFTA agreements.
Additionally, non-Canadian parts of cars that are compliant with KUSMA and imported from the U.S. will also be subject to these tariffs.
Unlike the U.S. tariffs, these measures will not include car parts, as we are aware of the importance of our integrated production system.
Cars imported from Mexico under the framework of the KUSMA agreement will be exempt from these tariffs.
We are in the process of developing a framework to support domestic automakers so that they can be exempt from reciprocal tariffs if they maintain production and investment in Canada.