Canadian vehicles made with a majority of U.S. parts would get tariff exemption, Ontario Premier says he was told [Video]

Ontario Premier Doug Ford says U.S. Commerce Secretary Howard Lutnick told him that finished vehicles entering the United States from Canada containing more than 50 per cent U.S.-made parts – which would include much of this country’s automotive exports – would be exempt from U.S. tariffs.

The Premier said he spoke with Mr. Lutnick late Wednesday night for about 25 minutes, hours after President Donald Trump issued executive orders slapping a 25-per-cent tariff on cars imported into the U.S. from countries outside the Canada-U.S.-Mexico Agreement. Cars compliant with that trade treaty would face a 25-per-cent tariff applied only to the value of their non-U.S. parts, not the entire vehicle.

Mr. Ford says that Mr. Lutnick has assured him Canada would receive an exemption on vehicles made with a majority of U.S. parts. Mr. Ford also said the Commerce Secretary also claimed the tariff regime would not result in the closing of auto …