Trump Says He Understands Canada’s Chinese EV Quota

President Donald Trump has expressed understanding for Canada’s capped low-tariff quota for Chinese electric vehicle (EV) imports, according to Canadian President Mark Carney. The deal, which was unveiled in January, allows up to 49,000 Chinese EVs to be imported annually at a tariff rate of around 6%, replacing tariffs above 100%. Carney stated that Trump likes the structure of the deal, and a hot mic captured the two discussing the topic, with Trump appearing to agree. However, Trump later clarified that he didn’t explicitly express approval, but could understand the quota. The agreement has been criticized by members of Trump’s administration, which has kept its 100% tariff on Chinese EVs in place. Canada is seeking to lower US auto tariffs and is pursuing possible Chinese investment in Canadian EV production, with Canadian Industry Minister Melanie Joly meeting with Chinese carmakers in China. Carney downplayed expectations for quick results, stating that the investment needs to be “material Canadian production” and not just knockdown kits.