Story perspectives
Canada's New Auto Policy Sparks Mixed Reactions and Concerns
1/17/2026
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Story summary
- Canada plans to introduce a new auto policy in February that grants preferential access to foreign automakers that manufacture vehicles domestically.
- The policy follows Prime Minister Mark Carney's agreement to reduce tariffs on Chinese-made electric vehicles (EVs) from 100% to 6.1%, allowing 49,000 EVs into Canada annually.
- Industry leaders warn of potential job losses and trade complications with the United States.
- Others see economic benefits and increased consumer options.
- U.S. officials have mixed reactions, with U.S. President Donald Trump praising the deal and U.S. Trade Representative Jamieson Greer criticizing it.
