Canada Signs Auto Deal With South Korea, Moving Further from the U.S.

New York Times - WorldCenter-LeftEN 4 min read 100% complete by Ian AustenJanuary 29, 2026 at 10:10 PM

AI Summary

medium article 4 min

Canada and South Korea have reached an agreement to explore bringing Korean automotive manufacturing to Canada. The deal, announced on Thursday, is Prime Minister Mark Carney's latest effort to diversify Canada's trade relationships away from the United States, which has imposed tariffs on Canadian vehicles. These tariffs, along with the Trump administration's policies, have led U.S. automakers to reduce their presence in Canada. Carney has also sought closer trade ties with China, allowing a limited number of Chinese electric vehicles into Canada at a reduced tariff rate. The Canadian government hopes the agreement with South Korea will bolster its auto sector and create jobs.

Key Entities & Roles

Key Player Opposition Context

World Economic Forum 30% China ×240% Kia Motors 40% Mélanie Joly 40% Stellantis 40% General Motors 40% Ford 40% Donald Trump ×360% Mark Carney ×470% South Korea ×270% United States ×580% Canada ×1090%

Keywords

auto industry 90% trade diversification 80% tariffs 70% automotive manufacturing 60% trade agreement 60% u.s. - canada relations 50% electric vehicles 50% global trade 40%