Trump to cut Canada auto tariffs from 25% to 15%

President Trump is preparing to reduce tariffs on automobile imports from Canada to 15%, down from the current 25%, as part of a wider trade agreement between the two countries, Bloomberg reports.

The existing 25% tariff applies to the non-US content of vehicles produced in Canada. Under the new arrangement, the same content provision would reportedly apply to the lower 15% rate.

US and Canadian negotiators have also discussed whether to broaden the exemption to include additional content, though no firm decision has been reached on that point. The overall US-Canada trade deal appears to be taking shape.