U.S. officials have warned that Canada will regret its decision to allow a limited number of Chinese electric vehicles into its market, insisting that those vehicles will not be permitted to enter the United States.
Speaking at an event at a Ford manufacturing facility in Avon Lake, Ohio, U.S. Transportation Secretary Sean Duffy said Canada’s move to allow up to 49,000 Chinese EVs could prove to be a mistake. He said Chinese-made vehicles would not be allowed into the U.S. market and suggested Ottawa would eventually reconsider its decision.
Canada imposed 100 percent tariffs on Chinese electric vehicles in 2024, mirroring similar measures taken by the United States. However, Washington has raised concerns that the recent allowance could give China a stronger foothold in North America at a time when the U.S. is tightening its stance on Canadian vehicles and auto parts.
U.S. Trade Representative Jamieson Greer said the limited number of Chinese EVs approved for Canada would not affect American automakers exporting vehicles north of the border. He stressed that the vehicles are destined for Canada only and would not enter the U.S. market.
Greer also described Canada’s decision as problematic during a separate interview, arguing that U.S. tariffs exist to protect American auto workers and consumers. He said this was the primary reason Chinese vehicles have little presence in the U.S. market.
Under a separate agreement, Canadian Prime Minister Mark Carney has said China is expected to reduce tariffs on Canadian canola seed to a combined rate of around 15 percent by March 1. Greer questioned the long-term value of that deal, suggesting Canada may come to regret it.
U.S. officials also pointed to regulatory barriers that make it difficult for Chinese vehicles to operate in the United States. Greer said rules introduced in January 2025 governing internet-connected vehicles and navigation systems pose significant challenges, particularly due to strict cybersecurity requirements that Chinese manufacturers may struggle to meet.
While President Donald Trump has previously said he would welcome Chinese automakers building vehicles in the United States, bipartisan opposition in Congress remains strong. Major U.S. automakers have also warned that China represents a growing threat to the domestic auto industry.
Ohio Senator Bernie Moreno reinforced that stance at the Ohio event, stating his firm opposition to Chinese vehicles being sold in the United States, a remark that drew applause from attending officials.
