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Canada Allowing the Import of Cheap Chinese EVs Has GM CEO Nervous: TDS

Canada's tariff cut to 6% enables 49,000 Chinese EV imports, prompting industry concerns over North American jobs and security, GM CEO said.

  • This month, Canada lowered tariffs on China-made EVs to 6%, opening its market to inexpensive imports; General Motors CEO Mary Barra warned, `I can't explain why the decision was made in Canada` and said it risks North American auto manufacturing, jobs and national security.
  • China and Canada struck a wide-ranging trade deal this month to lower barriers and rebuild ties after Xi Jinping cut canola tariffs, Ottawa said it aims to deliver cheaper, efficient cars.
  • BYD is accelerating international expansion in 2026, targeting Europe and possibly Canada with outside-China sales expected to reach 1.30 million vehicles, while a ship loaded export vehicles at Lianyungang Port on Jan. 27, 2026.
  • The decision prompted immediate political pushback as U.S. auto industry executives feared a back door to the U.S. market, and President Donald Trump threatened a 100% tariff on Canadian exports while California Air Resources Board Chair Lauren Sanchez pledged $200 million in California EV incentives.
  • GM now projects stronger results in 2026 and is cutting EV costs, ending the third shift at its Oshawa plant on January 30, laying off about 700 unionized workers.
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MotorTrend broke the news in on Tuesday, January 27, 2026.
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