Important update on U.S.-Canada trade tariffs

On the afternoon of Monday, February 3, 2025, Prime Minister Trudeau spoke with President Trump, who has agreed to pause the expected tariffs on Canadian goods for an additional 30 days while negotiations continue.

Canada will roll out its proposed $1.3 billion border plan which promises to strengthen defenses with additional helicopters, advanced technology, and personnel as well as enhanced collaboration with the U.S. to curb the passage of fentanyl. 

Furthermore, Canada is committing to new measures, including appointing a Fentanyl Czar, designating cartels as terrorist organizations, ensuring round-the-clock border surveillance, and launching a Canada-U.S. Joint Strike Force to tackle organized crime, fentanyl trafficking, and money laundering. 

While the Prime Minister and President Trump were in discussions, we voiced concerns related to the auto care industry directly to the Hon. François-Philippe Champagne, Minister of Innovation, Science and Industry, during an emergency meeting with the Canadian Automotive Partnership Council (CAPC). We will remain in close contact with government officials throughout the next 30 days as the situation continues to evolve.

We encourage our members to continue to share how these potential tariffs may impact their businesses. Your input strengthens our advocacy efforts.

For questions or to provide feedback, please contact:

Emily Holtby
Vice President of Government Relations, AIA Canada
emily.holtby@aiacanada.com