Canada Unveils Strategy to Counter U.S. Auto Tariffs and Boost Domestic Industry
Canada is taking aggressive steps to mitigate the damage caused by U.S. tariffs on foreign automobiles, with Industry Minister Melanie Joly set to unveil a comprehensive plan in February. The initiative aims to reverse job losses and plant closures triggered by former President Donald Trump's 2022 tariffs, which forced General Motors to shut an Ontario facility and Stellantis to abandon plans NEAR Toronto.
In a bold move, Canada will permit Chinese automakers to establish assembly operations domestically—provided they partner with local firms and use Canadian-built software. "This isn't a free pass," a government official stated anonymously. "National security remains paramount, particularly regarding technology risks." BlackBerry's cybersecurity expertise is expected to play a key role in safeguarding these partnerships.
The strategy extends beyond traditional manufacturing, targeting electric vehicle production with sales mandates and consumer incentives. Officials emphasize diversifying trade relationships: "We have agreements with Europe and Asia—we won't just beg for U.S. market access," the source added, signaling a shift from continental dependence.
