Canada has obtained the best of “bad deal”, says Ford, but still calls “totally unacceptable” rates
Canada obtained “the best of a bad deal” when the country was spared yet another shot of the administration of the President of the United States Donald Trump on Wednesday, says Prime Minister Doug Ford of the Ontario.
But that agreement is still “totally unacceptable”, Ford was rapid to add when he spoke with journalists at Queen’s Park Thursday, noting the threat to the nation car sector, in particular it is still “very high”.
“The only thing that is acceptable are zero rates,” Ford said. “We will continue to target zero rates.
“I believe (in), and I support the retaliation rates, very similar to those they have against us in the automotive sector, but this is rigorously up to the prime minister.”
During a morning press conference, Prime Minister Mark Caryy announced that Canada is selling Trump’s commercial policy with a 25 % rate on the vehicles imported from the United States who do not comply with the Canada-Use-Mexico (Cusma) agreement.
The government will also impose the rate on non -Canadian content of any vehicle in accordance with the United States Cusma, said Carney. Mexico will not be hit.
“Our rates will not influence the car parts because we know the benefits of our integrated production system,” he added, adding that the government is developing “a framework” for car manufacturers to avoid counter-rite fans as long as they maintain production and investments in Canada.
The previous rates remain
While the White House states that Canada and Mexico are not subject to the latest Trump rates, they remain in previous duties on an economic level.
In addition, 25 % of the tasks on car imports in the United States comes into force on Thursday.
The Canadian automotive industry is preparing for the impact of Trump rates that will come into force on Thursday. Ali Chiasson of CBC breaks down the way customers and retailers could be interested and what could mean for those who are on the market for a new car.
Ford said that while the vehicles made in Canada will probably be affected by rates at a lower level, depending on the percentage of American parts in them, the threat to the car sector of Ontario is still real.
“These car companies are not making money with the fist: they are basically trying to go day by day and keep their people employed,” Ford said.
But exactly how difficult the automotive sector will be depends on who you ask. David Paterson, representative of Ontario in Washington, said on CBC Radio’s Morning Metro Thursday that Canada will have a 12.5 percent net rate for vehicles, assuming that half of their content or parts come from the United States
Comparing it with a 25 % rate for other nations, together with a low Canadian dollar, “should give us a bearing and an ability to be able to face this, said Paterson.
“Those who have been out to ask for the imminent collapse of the automotive sector this week, I think they are a little later than their ski advice,” he added.
Impacts of the sector already warned
Flavio Volpe, president of the Association of Manufacturers of car parts, disagreed vehemently with that feeling.
“I would not take any tour of victory from my small office in Washington, DC, especially because these are real jobs for real people,” Volpe said Morning Metrorejecting to Paterson on the impact on the car sector of Ontario.
“In every type of war – tariff war, commercial war, true war – there is always a lot of people who will be the first to congratulate the enemy for mercy.”
Volpe claimed that Canada did not hear that the country received 12.5 % tariff for vehicles.
“What we heard was a language that was not formalized that we would have obtained a certain credit for American content in vehicles,” he said, adding that a fee of 12.5 percent would still eliminate the profit margins for producers.
Oshawa, Ontario, is the heart of the Canadian automotive sector and whether the residents work or not in the sector, one thing is certain: they are deeply aware of the potential impact of the rates imposed by the President of the United States Donald Trump. Mike Crawley of the CBC spoke with the members of the community of their electoral concerns.
The impacts have already been warned in the sector. Stellantis announced this week that it is temporarily stopping production in its assembly system in Windsor, Ontario, for two weeks while evaluating the effects of the rates.
“It’s not normal. It’s not the way this business works,” Volpe said, observing that the system suppliers will now have to close.
“There is no tour of victory,” he said.
Ford states that he expects the federal government to support the affected workers, but he hopes that the arrest is only temporary.
“I said it over and over again: a rate on Canada attacks the Americans,” Ford said.
The American alcohol will remain extracted from the LCBO shelves, added the premier.
