US Tariffs Crisis Forces Automobile Dealers to Launch Automotive Competitive Framework

Ottawa, Ontario--(Newsfile Corp. - April 22, 2025) - Today, on Parliament Hill, the Canadian Automobile Dealers Association (CADA) announced the Canadian "Automotive Competitive Framework". The Framework outlines the steps the next federal government will need to take for Canada and the auto industry to remain competitive in the future. The framework also serves as a guide for government to address the approaching consumers' affordability crisis.

"CADA's Automotive Competitiveness Framework outlines concrete regulatory actions we urge the next Canadian Federal Government to take in order to protect consumers, small business auto dealers and the economy," said Tim Reuss, CEO of CADA. CADA represents some 3,200 dealers in nearly every community in Canada and collectively employs 178,000 people across the country, more than any other sector in the new car supply chain.

"The Canadian automotive sector is in turmoil as a result of the US tariffs and, while we applaud the Canadian Government on its measured response to not make this situation worse, it is clear that we are fast approaching a consumer affordability crisis," added Reuss. Faced with this, CADA's "Automotive Competitiveness Framework" outlines five concrete actions that the next Federal Government can take on behalf of consumers and industry:

1) End Canada's Electric Vehicle Mandates - Canada has been very successful in increasing the number of Electric Vehicles on the road over the last years as consumer demand, charging infrastructure and purchase incentives were aligned. Most recently, however, the buildup of charging infrastructure has not kept pace and both Federal and Provincial purchase incentives have been curtailed and partially eliminated.

2) Expand Canada's Automotive Regulatory Framework - For far too long, Canada has been beholden to the US-defined environmental and safety standards for vehicles, at the exclusion of all others. This means that Canadians only get those vehicles and brands that Americans consider attractive and affordable because Canada's volume alone doesn't justify the costs involved in making the vehicles compliant to the North American standards.

CADA is proposing the Canadian Government accept the vehicle compliance certificates of Japan, Korea and the European Union. This measure would represent an expansion of Canada's trade horizons, that is supported by almost all manufacturers - including American ones - and would not be seen as a retaliation for any US activities.