On January 27, 2026, the Prime Minister of India and the European Commission President announced the conclusion of the India-EU Free Trade Agreement, which includes a carefully calibrated automotive liberalisation package. Car tariffs will gradually reduce from 110% to as low as 10%, while tariffs on car parts will b

On January 24 in a post on Truth Social, U.S. President Donald Trump threatened to impose 100% tariffs on Canada, warning it not to make a trade deal with China or face the increased import levies.
"If Governor Carney thinks he is going to make Canada a 'Drop Off Port' for China to send goods and products into the Un

Volkswagen AG’s plans for a possible Audi manufacturing plant in the U.S. are not progressing, according to VW CEO Oliver Blume on January 25, amid the weight of President Trump’s tariffs, which he says have cost EUR 2.1 billion (USD 2.5 billion) in the first nine months of 2025, as well as talks on local incentives

Canada and China signed an agreement January 16 that will see Canada allow 49,000 Chinese EVs into the country at a 6.1% tariff rate, down from 100% set in 2024, with Canadian Prime Minister Mark Carney saying the deal is an “opportunity” for Ontario and autoworkers.
In a January 18 press conference in Doha, Qatar, C

On January 21, it was reported that Brazil’s import tariffs on electric and hybrid vehicles will rise from 30% to 35% starting in July, which could push up prices of imported EVs/HEVs by up to 8%.
The outlook, presented by Bright Consulting, also mentions that the automotive market is becoming more competitive and st

On January 22, General Motors announced that it will move production from China and build a successor to the Buick Envision crossover at the automaker’s Fairfax Assembly plant in Kansas City, Kansas, beginning in 2028. GM did not confirm the name for the next-gen vehicle that it will be moving stateside. 
“General Mo

On January 17, U.S. President Trump said in a Truth Social posting that he would charge a 10% import tax starting in February on goods from eight European nations because of their opposition to American control of Greenland, setting up a precarious test of U.S. partnerships in Europe.
Denmark, Norway, Sweden, France,

Tesla appears poised to be an early beneficiary of Canada’s decision to reopen imports of Chinese-made EVs, following the removal of a 100% tariff that halted shipments in 2024. Under the new Canada–China trade agreement, Canada will allow up to 49,000 vehicles per year to be imported from China at a 6.1% tariff, wit

On January 17, Lotus Technology Inc. announced its support for Canada’s new tariff policy, which allows up to 49,000 Chinese electric vehicles each year to enter the country at a reduced tariff of 6.1%. This strengthens China–Canada trade relations and will help its company’s growth in the North American market.
The

On January 16, Canadian Prime Minister Mark Carney announced that his government has reached a deal with China to allow 49,000 Chinese EVs into the domestic market each year, at a 6.1% tariff, in exchange for dropping duties on canola products to 15% by March.
Carney described this as a "preliminary but landmark" agr

On January 14, Ford CEO Jim Farley said from the floor of the Detroit Auto Show that the era of the automotive industry as a global business is over, in the wake of diverging carbon emissions regulations, new import tariffs and differing consumer preferences. All of these things have been working to accelerate the lo

On January 13, U.S. President Donald Trump said the United States-Mexico-Canada Agreement (USMCA) is “irrelevant” to him and Americans don’t need Canadian products. “It expires very shortly and we could have it or not,” Trump said while touring a Ford plant in Dearborn, Michigan on the eve of the Detroit Auto Show. “

On January 9, the German Association of the Automotive Industry (VDA) issued a statement welcoming the EU-Mercosur trade agreement, saying that it will mutually promote growth, prosperity, and employment.
The agreement opens significant opportunities for the automotive industry. The agreement opens up significant opp

On January 9, the European Automobile Manufacturers’ Association (ACEA) welcomed the vote in the European Council in favour of signing the trade agreement between the EU and Mercosur (the EU-Mercosur Partnership Agreement (EMPA)).
The agreement will significantly reduce the tariffs on EU-made passenger cars (currentl

On January 9, the European Council adopted two decisions authorising the signature of the EU-Mercosur Partnership Agreement (EMPA) and of the Interim Trade Agreement (iTA) between the EU and Mercosur. The deal with the Mercosur partners (Argentina, Brazil, Paraguay and Uruguay) will create the world's biggest free tr

On January 7, it was reported that Volkswagen of America’s sales of VW and Audi brand vehicles plunged in the fourth quarter, as President Trump’s import tariffs and loss of EV tax credits took its toll.
Sales at VW brand fell by 19.8% to 82,798 units in Q4 2025 due to fallen demand for models including the Atlas SUV

On December 22, India concluded a landmark Free Trade Agreement (FTA) with New Zealand. The FTA provides major duty-free access for Indian exports, protects sensitive domestic sectors, and supports inclusive and resilient economic growth. The FTA improves market access for Indian goods and also opens opportunities in

On December 16, it was reported that India proposed a preferential trade agreement with Mexico to lessen the impact of new tariffs scheduled to take effect on January 1, affecting Indian exports in around USD 2 billion.
India’s Commerce Secretary Rajesh Agrawal said technical discussions have already begun following

On December 18, Prime Minister Mark Carney announced that Canada will begin formal talks with the United States in January to review the U.S.-Mexico-Canada trade agreement (USMCA). Internal Trade Minister Dominic LeBlanc will lead discussions with U.S. counterparts. Carney said Canada also plans to pursue additional