Ottawa says automakers that keep building in Canada will get a tariff exemption #CanadaFinance

Honda Canada denied reports of possible shifts in Canadian production Tuesday, saying its facility in Alliston, Ont. will operate at full capacity for the foreseeable future and no changes are currently being considered.

The Detroit Three — Ford, General Motors and Stellantis — have been lobbying the Trump administration for months. Trump suggested Monday another pause on automobile tariffs could be coming to give companies “a little bit of time” to move capabilities to the U.S.

White House Press Secretary Karoline Leavitt didn’t provide any details when asked on Tuesday about the president’s automobile comments but said Trump “has flexibility.”

Leavitt was also asked about Trump’s shifting tone toward Canada. She said the president maintains his position.

“The United States has been subsidizing Canada’s national defence and he believes Canadians would benefit greatly from becoming the 51st state,” Leavitt said.

On Tuesday, Champagne also announced relief for Canadian businesses affected by the trade dispute to give them time to adjust their supply chains.

Ottawa says it intends to provide a temporary six-month tariff holiday for goods imported from the U.S. that are used in Canadian manufacturing, processing and food and beverage packaging. The temporary exemption also will apply to goods used to support public health, health care, public safety and national security.

Champagne said the large enterprise tariff loan facility, announced in March, is now accepting applications.

Global markets have been in turmoil since Trump launched, then partially paused, his “reciprocal” tariffs earlier this month. A 10 per cent import tariff remains in place for most countries, as well as specific duties on sectors like aluminum, steel and automobiles.

Trump slapped 145 per cent tariffs on Chinese imports and Beijing responded with a 125 per cent retaliatory duty on U.S. products.

A new poll suggests Canadians are expressing high levels of concern about the recent stock market volatility linked to U.S. tariffs — and are more worried than Americans about how duties will affect their finances.

The Leger poll sampled 1,630 Canadian adults and 1,007 American adults from April 11 to April 13. Because the poll was conducted online, it can’t be assigned a margin of error.

It suggests 78 per cent of Canadian respondents were worried about stock market volatility. Most Canadian respondents, 87 per cent, said they believed the new tariffs will affect their personal finances, compared to 78 per cent of Americans.

Leger conducts tariff polls weekly and says that more Canadians and Americans reported seeing an increase in consumer prices in the past week.

— With files from Kyle Duggan in Ottawa and Catherine Morrison in Saint-Eustache, Que.

This report by The Canadian Press was first published April 15, 2025.

Kelly Geraldine Malone, The Canadian Press