Canada has officially announced 25% tariffs on some US-made vehicles that will go into effect on April 9, the federal finance ministry said Tuesday. “These countermeasures will remain in place until the U.S. eliminates its tariffs against the Canadian auto sector,” it said in a statement.

JUST IN: Canada announces 25% tariffs on some US-made cars.

— Watcher.Guru (@WatcherGuru) April 8, 2025

Canadian Prime Minister Mark Carney said that the tariff collected would be redirected towards the country’s auto industry and the workers. The new tariff will affect fully-built vehicles that will enter Canada from the US. Automobiles and automotive spares account for a large portion of Canadian total value, apart from oil and gas. Additionally, Canada is the largest importer of vehicles from the US, and Canadian auto companies send over 90 percent of their goods to the US.

Announcing on X, the Canadian Prime Minister said, “Our tariffs, unlike President Trump’s, will not affect auto parts because we know the benefits of our supply chain. Canada will also develop a support framework for auto producers that incentivises production and investment in Canada.” The tariffs will not be enforced on companies that make cars in Canada, such as Stellantis, Ford, General Motors, Honda, and Toyota.

Ontario Premier Doug Ford previously said Canada was willing to remove tariffs if the US did. However, neither side has let up yet, and the US president doesn’t appear to be letting up on his tariff plan. On Tuesday, Trump imposed an additional 104% tariff on China because of the latter’s retaliatory tariff announcement. Trump has yet to comment on Canada’s tariff announcement, nor suggest if the northern neighbor will suffer similar consequences as China.

Canada has officially announced 25% tariffs on some US-made vehicles that will go into effect on April 9, the federal finance ministry said Tuesday. “These countermeasures will remain in place until the U.S. eliminates its tariffs against the Canadian auto sector,” it said in a statement.

JUST IN: Canada announces 25% tariffs on some US-made cars.

— Watcher.Guru (@WatcherGuru) April 8, 2025

Canadian Prime Minister Mark Carney said that the tariff collected would be redirected towards the country’s auto industry and the workers. The new tariff will affect fully-built vehicles that will enter Canada from the US. Automobiles and automotive spares account for a large portion of Canadian total value, apart from oil and gas. Additionally, Canada is the largest importer of vehicles from the US, and Canadian auto companies send over 90 percent of their goods to the US.

Announcing on X, the Canadian Prime Minister said, “Our tariffs, unlike President Trump’s, will not affect auto parts because we know the benefits of our supply chain. Canada will also develop a support framework for auto producers that incentivises production and investment in Canada.” The tariffs will not be enforced on companies that make cars in Canada, such as Stellantis, Ford, General Motors, Honda, and Toyota.

Ontario Premier Doug Ford previously said Canada was willing to remove tariffs if the US did. However, neither side has let up yet, and the US president doesn’t appear to be letting up on his tariff plan. On Tuesday, Trump imposed an additional 104% tariff on China because of the latter’s retaliatory tariff announcement. Trump has yet to comment on Canada’s tariff announcement, nor suggest if the northern neighbor will suffer similar consequences as China.