American EV Jobs Alliance Statement on Canada’s Shift in China EV Trade Policy
WASHINGTON, Jan. 16, 2026 — Canada’s decision to slash tariffs on Chinese-made electric vehicles in response to the Trump Administration’s aggressive tariff policy has raised new concerns about the future of American auto manufacturing and the 10 million American jobs it supports.
Mike Murphy, CEO of the American EV Jobs Alliance, issued the following statement:
“China just gained a foothold in the North American EV market, and it did not happen by accident. When U.S. trade policy becomes chaotic, unpredictable, and destructive, bad outcomes are inevitable. President Trump has really bungled the job when it comes to standing up for U.S. auto jobs and North American auto manufacturing.
American automakers and autoworkers are caught in the middle of the most expensive industrial transition in a generation. Automakers, both American and those of our democratic allies who proudly manufacture vehicles here, are investing billions to build affordable electric vehicles here at home, retrain workers, and retool factories. That effort is undermined by trade instability, unclear rules, and a hostile posture toward our closest North American and European trading partners. Unlike other competing foreign automakers, China is not a U.S. ally, and its state-sponsored automotive conquest strategy is based on flooding foreign markets and deindustrializing geopolitical rivals.”
“President Trump often says he is on the side of auto workers,” continued Murphy. “Unfortunately, his actions show those appear to be China’s auto workers.”
Canada’s new trade agreement with China opens the Canadian market to Chinese EVs with an initial import cap of 49,000 vehicles, expanding to 70,000 vehicles by year five. In 2024, the total Canadian new EVs and plug-in hybrid vehicles market was 271,000 vehicles. Over 40 percent of those sales were from U.S. brands. Official 2025 figures are not yet available, but are expected to show a decline in EV sales.
About the American EV Jobs AllianceThe American EV Jobs Alliance is a nonpartisan advocacy organization focused on strengthening American EV manufacturing by domestic companies and U.S. allies. EVs for All America is a separate, affiliated nonprofit that conducts independent research and education to identify and address barriers slowing EV adoption.