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President Donald Trump speaks to reporters in the Oval Office at the White House in Washington, Wednesday, March 26, 2025. Pool/AP
TRADE WAR

Ford says Lutnick indicated Canada will see lower automobile tariffs

Mar 27, 2025 | 12:38 PM

Ontario Premier Doug Ford says he was told by U.S. Secretary of Commerce Howard Lutnick that Canadian-made vehicles with 50 per cent or more American parts will not face tariffs.

U.S. President Donald Trump signed an executive order Wednesday for 25 per cent levies on automobile imports to the United States starting next week.

Lutnick called Ford later Wednesday to say that Canada would face a different rate but it was unclear when Canadian vehicles would see the tariff break.

Most of vehicles made in Canada are already constructed with more than half American parts as the North American auto industry is deeply integrated.

Ford says he wants to wait to respond to the latest tariffs until after April 2 when Trump is set to implement what he calls “reciprocal” tariffs by raising U.S. duties to match the tax rates that other countries charge on imports.

Prime Minister Mark Carney interrupted his election campaign Thursday and returned to Ottawa to lead a meeting of the Canada-U.S. relations cabinet committee.

Speaking to reporters on Wednesday, Carney said he was suspending his campaign plans for the day and would return to Ottawa to hold a meeting of the Canada-U.S. cabinet committee.

Carney is expected to return to the campaign trail this afternoon after this morning’s meeting; the Liberals had not published his itinerary by midday.

NDP Leader Jagmeet Singh is scheduled to meet in Windsor, Ont. with union leaders and autoworkers “who are the target of Donald Trump’s latest attacks,” he wrote on the platform X.

Conservative Leader Pierre Poilievre is campaigning near Vancouver and is promising to boost the amount that Canadians can put into tax-free savings accounts, as long as the funds are used to support domestic growth.

He said he would allow Canadians to save an additional $5,000 each year, but only for “investments in Canadian companies,” a condition that a Conservative government would help define for banks. The current annual TFSA contribution limit is $7,000.

Poilievre will make campaign stops today in Coquitlam and Surrey, B.C.