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flag Canada suggests auto trade deal with U.S. and Mexico to counter tariffs, boost local industry.

flag A new report from the C.D. flag Howe Institute recommends that Canada negotiate a new auto trade agreement with the U.S. and Mexico to counteract U.S. auto tariffs. flag The proposal, inspired by the 1965 Canada-U.S. Auto Pact, suggests imposing permanent import tariffs but giving automakers tax breaks if they meet local production requirements. flag This strategy aims to maintain investments and jobs in Canada's auto industry and align with the Trump administration’s goals of reducing trade imbalances and reinforcing domestic supply chains.

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