The Globe and Mail reports in its Friday edition that Ottawa is scaling back the number of tariff-free vehicles Stellantis and GM can import from the United States after the automakers walked back commitments to invest in Canada. The Globe's Mariya Postelnyak writes that the number of U.S.-assembled vehicles that Stellantis can sell in Canada tariff-free will be cut by 50 per cent and 24.2 per cent for GM. The move curtails a key exemption that allowed the automakers to avoid paying a 25-per-cent retaliatory tariff on all American car imports to Canada in the midst of a trade war with the U.S. "They were given a bonus -- a different status because they're manufacturing here," said Flavio Volpe at the Automotive Parts Manufacturers' Association. But, he said, "What's the point of bonusing someone to maintain their footprint if they've reneged on that covenant?" On Tuesday, GM ended production of the Chevrolet BrightDrop electric parcel van in Ingersoll, Ont. Earlier this month, Stellantis announced it was shifting production of the Jeep Compass to Illinois from its Brampton, Ont., plant, as part of a $13-billion (U.S.) plan to increase production in the U.S. Combined, the curtailments affect 3,100 unionized workers.
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