Trump's proposed tariffs threaten auto industry and raise consumer prices, leaders warn

Auto industry leaders are warning that U.S. president-elect Donald Trump's proposed 25 percent tariffs on Canadian goods could severely impact the sector. They say this would lead to higher vehicle prices for consumers in both Canada and the U.S. Flavio Volpe, president of the Automotive Parts Manufacturers' Association, emphasized that such tariffs are unreasonable, as vehicle parts often cross the border multiple times. He stated that the auto industry operates on thin profit margins, and these tariffs could halt production by American companies. Trump's announcement has drawn criticism from Canadian business leaders, who argue that the tariffs would harm jobs and economies on both sides of the border. They stress the importance of cooperation between the U.S. and Canada to address global challenges.