Shafaqna English– As recently as the previous week, automotive manufacturers had been optimistic that the bilateral trade negotiations between the United States and Canada, conducted over the summer months, would result in a reduction or elimination of the 25% import duties imposed by Washington, which had significantly increased the expenses associated with transporting finished vehicles and automotive components across the shared border.
However, the situation took a dramatic turn for the worse on Monday, as U.S. President Donald Trump announced a new 50% tariff on all automobiles, automotive components, and trucks originating from Canada, which is set to go into effect at the start of the new year, essentially doubling the financial burden that automakers were already grappling with.
Source: Reuters