Tariff headache throbs in Europe, Canada opens door to China




Tariff headache throbs in Europe, Canada opens door to China | Automotive World



















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Within days of each other, the US and Canadian governments have made tariff decisions that could have major implications for automotive. By Will Girling

On 16 January 2026, Canada reached a deal with China that included reducing tariffs on imported electric vehicles (EVs) from 100% to 6.1%, with annual caps on quantity. Meanwhile, the following day, US President Donald Trump announced on Truth Social that a new 10% tariff would be imposed on eight European nations, including Denmark, France, Germany and the UK.

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