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Canada-U.S. trade deal must include auto sector, says Brampton mayor
๐Ÿ‡จ๐Ÿ‡ฆ Canada /Economy & Trade

Canada-U.S. trade deal must include auto sector, says Brampton mayor

From Global News · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources Ongoing story
  • - Canada's trade minister stated that any trade deal with the U.S.
  • must include the auto sector, emphasizing that

Brampton, Ontario, Mayor Patrick Brown asserted that "no deal is better than a bad deal" if the auto sector is excluded from ongoing trade negotiations between Canada and the United States. Brown's comments highlight concerns about the U.S. administration's proposals, which he believes do not adequately protect Canadian interests in the automotive industry.

no deal is better than a bad deal

โ€” Patrick BrownMayor of Brampton, Ontario, Patrick Brown, on the necessity of including the auto sector in trade negotiations with the U.S.

His remarks come amid reports that Stellantis is considering closing its Brampton assembly plant. Unifor President Lana Payne stated the company notified the union of its intention to move future Jeep Compass production to the U.S., potentially idling the plant indefinitely. However, Payne also noted Stellantis has reiterated its commitment to Brampton and its workers, with the company focusing on finding a "sustainable manufacturing solution" for the plant.

I hope that if there is a continued trade agreement with the United States, that weโ€™re going to continue to have free trade on auto.

โ€” Patrick BrownMayor of Brampton, Ontario, Patrick Brown, expressing his hopes for continued free trade in the auto sector.

New tariffs proposed by the Trump administration continue to cast a shadow over the trade talks. Sources indicate that despite constructive negotiations, a deal to reduce current duties and avoid new ones is not imminent. The U.S. has set an August 19 deadline for potential 50% tariffs. Negotiators are reportedly reviewing tariffs line by line, but significant hurdles remain.

Throughout this entire time, though, itโ€™s important to note, Stellantis has reiterated to us its commitment to Brampton and our members

โ€” Lana PayneUnifor President Lana Payne, commenting on Stellantis's commitment to its Brampton operations.

Any agreement is expected to include some form of tariffs on steel, aluminum, autos, and lumber. The U.S. has also pushed for American alcohol to be reinstated on all provincial store shelves. While a deal might reduce tariffs on Canadian autos and parts compliant with the Canada-U.S.-Mexico Agreement (CUSMA) from the current 25%, sources suggest a potential tariff rate of 10-15% is being discussed. Auto industry insiders, however, have expressed concerns about the implications of any deal.

remains on finding a sustainable manufacturing solution for Brampton Assembly.

โ€” StellantisThe company's stated focus regarding the Brampton Assembly plant.
DistantNews Editorial

Originally published by Global News in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.