Aug. 28, 2026 | The week’s top stories and APMA’s Flavio Volpe on tariffs, trade war

Canada-US trade talks collapsed about a week ago because of a number of sticking points.

They included two key automotive issues.

Prime Minister Mark Carney says Washington wanted tariff relief limited only to light-duty vehicles.

That left Canadian-built heavy-duty pickups facing higher tariffs.

The two sides also disagreed over whether Canadian and Mexican auto parts should be exempt from U.S. tariffs.

Carney says Canada would not accept a deal that undermined key industries such as auto.

In sticking with trade news, the Canada-U.S. trade war continues to escalate.

U.S. President Donald Trump is threatening 50% tariffs on Canadian vehicles and auto parts starting January 1st.

Industry leaders warn the move could raise costs, disrupt deeply integrated supply chains, and threaten jobs on both sides of the border.

Prime Minister Mark Carney says Canada will fight back while automakers are urging both governments to resume negotiations.

In EV news, Ottawa is scrapping its controversial electric vehicle sales mandate, but it has yet to detail what will replace it.

The mandate would have required all new vehicle sales to be zero emission by 2035.

The government now plans tailpipe emissions rules aimed at roughly 75% EV adoption by the same date.

automakers welcome the repeal but warn even the new target may be unrealistic.

Environmental groups want ambitious emission standards.

And that's a look at some of the top Canadian automotive stories of the week.

You can find more on those and other stories at our website automotivenews.ca. Coming up, my conversation with Automotive Parts Manufacturers Association President Flavio Volpe.

Canada-US trade talks collapsed about a week ago because of a number of sticking points.

They included two key automotive issues.

Prime Minister Mark Carney says Washington wanted tariff relief limited only to light-duty vehicles.

That left Canadian-built heavy-duty pickups facing higher tariffs.

The two sides also disagreed over whether Canadian and Mexican auto parts should be exempt from U.S. tariffs.

Carney says Canada would not accept a deal that undermined key industries such as auto.

In sticking with trade news, the Canada-U.S. trade war continues to escalate.

U.S. President Donald Trump is threatening 50% tariffs on Canadian vehicles and auto parts starting January 1st.

Industry leaders warn the move could raise costs, disrupt deeply integrated supply chains, and threaten jobs on both sides of the border.

Prime Minister Mark Carney says Canada will fight back while automakers are urging both governments to resume negotiations.

In EV news, Ottawa is scrapping its controversial electric vehicle sales mandate, but it has yet to detail what will replace it.

The mandate would have required all new vehicle sales to be zero emission by 2035.

The government now plans tailpipe emissions rules aimed at roughly 75% EV adoption by the same date.

automakers welcome the repeal but warn even the new target may be unrealistic.

Environmental groups want ambitious emission standards.

And that's a look at some of the top Canadian automotive stories of the week.

You can find more on those and other stories at our website automotivenews.ca. Coming up, my conversation with Automotive Parts Manufacturers Association President Flavio Volpe.