A major US trading partner is looking elsewhere when it comes to cars.
“Canada, facing U.S. tariffs that threaten its auto industry, announced on Thursday an agreement with South Korea to explore bringing Korean automotive manufacturing to the country.
Though scant on details, the accord was another move by Prime Minister Mark Carney to diversify Canada’s trade away from the United States in response to Mr. Trump’s volley of tariffs.
The agreement also fits with Mr. Carney’s widely hailed call at the World Economic Forum last week for middle power nations to band together after what he characterized as an irreversible ‘rupture’ to the world order by Mr. Trump’s aggressive economic and diplomatic policies.
Mr. Trump has repeatedly said that the United States does not need autos from Canada and imposed a 25 percent tariff on Canadian vehicles, ending a period of duty-free entry dating back to 1965. The vast majority of Canadian auto production is sent to the United States, though Canada also imports a sizable number of U.S. vehicles.
‘This agreement will grow our auto sector, create good jobs and reinforce Canada’s position as a global leader in future-ready vehicle manufacturing,’ Mélanie Joly, the industry minister, said in a statement on Thursday.”
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