The Globe and Mail reports in its Tuesday edition that U.S. tariffs on imported vehicles will cut Ontario auto production by over 56,000 vehicles this year, with further reductions in the coming years threatening some plants, says Auto Forecast Solutions chief Joe McCabe. The Globe's Eric Atkins quotes Mr. McCabe saying there are questions about the future of assembly plants in Oshawa, Oakville and Ingersoll, in addition to expected production cuts in Alliston. Since U.S. President Donald Trump first mentioned tariffs last fall, Canadian carmakers have faced thousands of layoffs and production delays. In 2024, most of the 1.3 million vehicles made in Ontario were exported to the U.S., a significant drop from the 2.9 million produced in 2000. The tariffs, Mr. McCabe says, are hastening the plunge. Exports of Canadian-assembled automobiles to the U.S. fell by 23 per cent in April, the first month of the U.S. tariffs. May's numbers will be even worse, said Flavio Volpe, head of the Automotive Parts Manufacturers' Association. Mr. Volpe said it is urgent that Canada finds a way to get the U.S. to drop the tariffs amid deepening layoffs and declining production. "Six months more of tariffs is a very big problem," he said.
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