Prime Minister Mark Carney says Canada will be matching the United States' auto tariffs, effectively ending a 60-year agreement between the two nations. 

Carney, who paused his election campaign on Tuesday to address a potential new wave of tariffs from U.S. President Donald Trump, made the announcement in Ottawa Thursday (April 3).

He said Canada would be implementing 25-per-cent tariffs on all vehicles imported from the U.S. that are not compliant with the Canada-United States-Mexico Agreement. Unlike the U.S. tariffs, Carney said Canada's will not affect auto parts "because we know the benefits of our integrated production system" and it will also not affect vehicle content from Mexico, "who is respecting the CUSMA agreement."

Carney added Canada is developing a framework for auto producers in Canada to get relief from these counter tariffs, as long as they maintain their production and investment in the country.

SA国际影视传媒淵esterday marked the latest in President TrumpSA国际影视传媒檚 unprecedented series of U.S. tariffs that are designed to reshape the international trading system. The ambition of these measures is enormous, the effects on the global economy will be monumental.SA国际影视传媒�

Carney said he received confirmation Wednesday that Trump's reciprocal tariffs would not be imposed on Canada. However the auto tariffs, and two other sets of tariffs, remain in place. 

"So while itSA国际影视传媒檚 progress that further tariffs were not imposed on Canada yesterday, the presidentSA国际影视传媒檚 actions will reverberate here in Canada and across the world.SA国际影视传媒�

The auto tariffs, which went into effect Thursday, have already had an impact in Canada. Carney said workers from Unifor Local 444, who he met with while he was in Windsor on March 26, learned that their auto assembly plant would be shutting down for at least the next two weeks. 

"ThatSA国际影视传媒檚 3,600 workers who are now out of work SA国际影视传媒� not by their choice.SA国际影视传媒�

Carney said "every dollar" from Canada's counter tariffs, which could reach about $8 million before remission, will go directly to auto workers and the companies affected by the tariffs. 

U.S.-imposed tariffs

There are currently three sets of tariffs imposed on Canada: auto tariffs, fentanyl and steel and aluminum. 

SA国际影视传媒淲hile they have been imposed under different premises, some things are consistent. TheySA国际影视传媒檙e all unjustified, unwarranted and, in our judgment, misguided and we are already seeing the consequences," Carney said.

The auto tariffs, announced by Trump on March 26, impose a 25-per-cent tariff on the import of automobiles and certain automobile parts. The tariff will be applied to imported passenger vehicles, light trucks, and key automobile parts, such a engines, transmissions, powertrain parts, and electrical components. There is also an option to expand the tariffs to additional parts, "if necessary."

In March, the U.S. announced a 25-per-cent tariff on steel and aluminum products from all countries, including Canada. Canada, in response, announced its own surtax on the same products. 

More to come.