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Canada Cuts Tariff-Free Import Quotas for GM and Stellantis

The move enforces conditions linking tariff relief to Canadian production commitments.

Overview

  • Ottawa reduced General Motors’ annual remission quota by 24.2% and Stellantis’ by 50%, with the changes taking effect immediately.
  • The decision responds to GM ending BrightDrop van production in Ingersoll and reducing output in Oshawa, and Stellantis shifting planned Jeep Compass production from Brampton to Illinois.
  • Industry Minister Mélanie Joly gave GM 15 days to present next steps for the Ingersoll workforce and is convening a response group to seek a new product for the plant.
  • Ministers said the companies breached obligations under the April auto remission framework that ties tariff relief to maintaining Canadian production and investments, and legal options remain on the table.
  • Unions and parts manufacturers applauded the enforcement push, while the Canadian Automobile Dealers Association warned the tighter quotas could raise prices and reduce availability of certain U.S.-built models.