Ontario Premier Doug Ford says he has been instructed {that a} media report about Honda planning to change some automobile manufacturing from Canada to the USA is “not correct.”
Ford instructed reporters on Tuesday that he spoke to the president of Honda Canada, who shall be making a press release to make clear the report from Reuters, which cited Japanese newspaper Nikkei and shortly stirred fears of job losses amid U.S. President Donald Trump’s commerce struggle.
“They wish to improve manufacturing down within the U.S., they’re at 100 per cent capability proper now, in order that they’re going to make a press release. I’ll allow them to make their assertion, however they’re saying that’s not correct,” Ford stated in regards to the report.
“We’re going to maintain Honda right here, and I’ll do all the pieces I can to guard the individuals and their jobs.”
Nikkei reported on Tuesday that Honda is contemplating switching some automobile manufacturing from Canada and Mexico to the U.S., aiming for 90 per cent of vehicles bought within the nation to be made regionally in response to new U.S. auto tariffs.
International Information has not independently verified this report however has reached out to Honda Canada for remark.
Trade Minister Anita Anand, who’s working for re-election within the Ontario driving of Oakville East however retains her ministerial function through the marketing campaign, stated she is in “shut contact” with Honda and shall be assembly Honda Canada’s CEO in a while Tuesday to debate the matter.
“We’re conscious of the unconfirmed stories of future adjustments to Honda’s manufacturing plans for Canada,” Anand stated in a submit on X, previously referred to as Twitter.
“I’m in shut contact with the corporate, and Honda has communicated that no such manufacturing selections affecting Canadian operations have been made, and aren’t being thought of presently.”
These reported plans had been condemned by federal occasion leaders on Tuesday as “an assault” on the nation’s auto sector.
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Talking at a marketing campaign cease in St-Eustache, Que., Liberal Chief Mark Carney stated the Honda information “offers us a way of the dimensions of the assault on our auto sector and different sectors” on account of Trump’s commerce struggle.
Trump has imposed a number of steep rounds of tariffs on Canada, together with the nation’s auto sector.
Carney stated Trump’s commerce actions are “misguided” and its impacts are already being felt on each side of the border.
Carney stated Trump’s tariffs are an try to “pull aside” the North American car sector, which he stated is “essentially the most built-in industrial manufacturing sector on this planet.”
“We’re seeing a number of the impacts within the quick time period of that with layoffs for a few of our automakers, potential shifts in manufacturing if this example stays, big improve in prices finally to American shoppers, clearly Canadian shoppers,” Carney stated.
He stated he has had plenty of conversations with CEOs of automakers in Canada and international CEOs, including that “we’re very seized with the problems” impacting the business.
Conservative Chief Pierre Poilievre stated “Trump deserves nothing however condemnation for the unfair focusing on of Canada.”
“Whereas he’s lifting tariffs and backing down on tariffs all world wide, he continues to tariff our auto sector,” Poilievre instructed reporters in Montreal.
NDP Chief Jagmeet Singh stated the Honda information is “deeply regarding.”
“That is doubtlessly going to impression 1000’s of jobs in Canada and have a devastating impression on the auto sector for the long run,” he stated throughout a brand new convention in Montreal.
“It actually highlights how we have to actually battle again and get these tariffs eliminated, guarantee that we will strengthen our car sector.”
In accordance with the Nikkei report, Honda plans to extend U.S. automobile manufacturing by as a lot as 30 per cent over two to 3 years in response to Trump’s choice to place a 25 per cent levy on imported autos.
A possible transfer to the U.S. might have a huge impact on 1000’s of Canadian staff employed on the manufacturing facility in Alliston, Ont.
Honda’s operation in Alliston has about 4,200 staff and produced round 375,000 autos in Canada in 2023.
On Monday, Trump prompt that he would possibly temporarily exempt the auto industry from tariffs he beforehand imposed on the sector, to offer carmakers time to regulate their provide chains.
“I’m one thing to assist a number of the automobile corporations with it,” Trump instructed reporters gathered within the Oval Workplace.
The Republican president stated automakers wanted time to relocate manufacturing from Canada, Mexico and different locations, “and so they want somewhat little bit of time as a result of they’re going to make them right here, however they want somewhat little bit of time. So I’m speaking about issues like that.”
The assertion hinted at one more spherical of reversals on tariffs as Trump’s onslaught of import taxes has panicked monetary markets and raised deep issues from Wall Road economists a couple of doable recession.
John Hevelston, an assistant professor at George Washington College who focuses on provide chains, stated Trump’s present implementation of tariffs on its strongest buying and selling companions might do “quite a lot of injury.”
“If there’s any advantages, it’s arduous to know if it’s going to outweigh the injury,” Hevelston stated in an interview with International Information.
He stated any try to drag again provide chains, together with for the auto sector, into U.S. borders might take “a few years” and “even so, it might not ever be economically possible for lots of various elements.”
— with recordsdata from International Information’ Reggie Cecchini, Reuters, The Canadian Press and The Related Press
© 2025 International Information, a division of Corus Leisure Inc.
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