Poilievre proposes tariff-free Canada-U.S. auto pact to boost production

Conservative Leader Pierre Poilievre says a future Conservative government would pursue a tariff-free auto pact with the United States as part of a plan to revive Canada’s auto sector and double domestic vehicle production.

Poilievre said the plan would restore Canadian vehicle production to two million units a year over the next decade, arguing the industry is critical to jobs and the country’s industrial capacity.

“Canada needs a strong automobile sector, not just because it puts paychecks in pockets and food on the table, but because it is critical to our national security to have an industrial base,” he said during a stop in Windsor, Ont., on Sunday.

The proposal includes removing the GST from Canadian-made vehicles, tying duty-free vehicle sales in Canada to domestic production, and maintaining the requirement that vehicles contain at least 75 per cent North American content under the Canada–United States–Mexico Agreement.

Poilievre said the approach would encourage automakers to increase manufacturing in Canada by linking sales to production.

“For every car produced in Canada, the same manufacturer would get to sell a car in Canada duty free from a CUSMA partner on a dollar-for-dollar basis similar to the 1965 Canada–U.S. Auto Pact,” he said.

He argued Canada’s auto sector has declined in recent years, pointing to a drop in vehicle production from more than two million units annually to about 1.2 million.

“The goal is clear. We want to double our production to two million vehicles,” he said.

During the announcement, Poilievre also criticized Prime Minister Mark Carney’s handling of trade tensions with the United States and tariffs affecting the auto industry.

“Where is Mark Carney’s plan? He’s been prime minister now for a year. We still have no idea what his plan is to counter these tariffs. None,” he said.

Poilievre’s pitch comes at a critical time for the Conservative leader. A recent Abacus Data poll conducted between March 4 and 11 suggests the Liberals currently hold an advantage nationally, with 46 per cent support among decided voters compared with 35 per cent for the Conservatives. The poll also found 56 per cent of Canadians approve of the federal government’s performance under Carney.

Poilievre said the Canadian auto sector relies heavily on access to the U.S. market and warned that losing tariff-free trade could have major consequences for manufacturing jobs.

“We will bring our factories roaring back to life,” he said. “Our plants will be humming. Our mills will be stamping more aluminum and steel.”

&copy 2026 Global News, a division of Corus Entertainment Inc.