Canada Eases Tariffs on Certain U.S. Vehicle Imports

Canada allows car manufacturers to import a number of cars and trucks manufactured in the USA without tariffs – as long as the companies continue to manufacture vehicles in Canada. The country's government announced this on Tuesday, according to Bloomberg.

» Published: April 15 2025

Canada Eases Tariffs on Certain U.S. Vehicle Imports
Photo: Christinne Muschi/AP/TT

The Canadian government introduced retaliatory tariffs on vehicles manufactured in the USA last week. However, the new measure will bring some relief to companies such as General Motors and Stellantis, which have assembly plants in Ontario and still import large quantities of vehicles to Canada from the USA.

According to the government, they will also introduce exemptions for goods imported from the USA and used in Canada's manufacturing, processing, and packaging industries, as well as articles related to public health and national security.

Canada currently has 25-percent surtaxes on American products worth 60 billion Canadian dollars, equivalent to approximately 423 billion kronor, plus additional tariffs on certain vehicles manufactured in the USA.

The exemptions will bring relief to Canadian companies that rely on American goods for their competitiveness, as well as critical institutions such as hospitals and fire departments, according to a press release from Canada's finance department.

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By TTTranslated and adapted by Sweden Herald
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