Steel and aluminum tariffs are still pending, but it looks like members of the automotive sector and the government are slowly working towards a solution.
The Canadian Automotive Partnership Council (CAPC) gathered at the North American International Auto Show in Detroit on January 14, 2019. There, they discussed the “ongoing transformation of the automotive industry,” along with the impacts the changes will have on both the growth and competitiveness of the Canadian auto industry.
“I was particularly pleased with the way in which CAPC was able to engage with the Canadian and Ontario governments throughout the (trade) negotiations,” said CAPC Chair Don Walker, in relation to the NAFTA 2.0 agreement. “Looking forward, this level of collaboration will serve as an important foundation in resolving the steel and aluminum tariffs and enable us to work together in promoting the competitiveness of the Canadian automotive industry.”
CAPC members were joined by the Hon. Navdeep Bains, Minister of Innovation, Science and Economic Development and the Hon. Todd Smith, Ontario’s Minister of Economic Development, Job Creation and Trade.
Smith said Ontario was committed to supporting the province’s auto manufacturing sector and the “hundreds of thousands” of families across the province that rely on these jobs.
“Our government is cutting red tape and unnecessary regulatory burden to make Ontario’s vehicle assembly and parts plants more competitive,” said Smith. “We are getting government out of the way of job creators ― including those in the auto sector ― so they can continue to grow, invest and thrive right here. Ontario is open for business.”
The expectation by Canada and Mexico was that the steel and aluminum taxes would be lifted by the time the new trade deal was signed. Canadian Prime Minister Justin Trudeau was reportedly hesitant to sign the agreement last November, as was the Mexican government. Both governments continue to work with the U.S. to try and lift the levies.
