In June, Canada imported more vehicles from Mexico ($1.08B) than from the US ($950M) for the first time in over 30 years, as Trump’s 25% tariffs reshape North America’s auto trade. Retaliatory Canadian tariffs and tariff relief for domestic manufacturing have further shifted supply patterns. While the change may be temporary, US shipments spiked earlier in the year ahead of tariffs, signalling a long-term restructuring of supply chains. Automakers are adjusting by moving production and managing costs without broad price hikes, but uncertainties in trade rules remain. Industry leaders anticipate that tariffs will remain a lasting feature, necessitating strategic adaptation.
