Two industry sources said that Ottawa and Washington have not finalized an agreement on automobile tariffs, reports Globe and Mail
Newsquawk Staff ·
- "Canada’s premiers were given no advance notice of the Tuesday developments and learned of the tariff delay at the same time as other Canadians when Mr. Trump posted about it on his social media channel, three sources said."
What it means
Bilateral tariff arrangements in the North American auto sector have repeatedly run ahead of the paperwork: headline announcements and social media posts from the US side have historically preceded, sometimes by weeks, any signed text, and the gap between announcement and implementation is where rates, exemptions and effective dates get renegotiated. The detail that Canadian premiers received no advance notice is characteristic of how these episodes have tended to run, with the US side communicating unilaterally and counterpart governments, provinces included, scrambling to confirm scope after the fact; that asymmetry has been a recurring source of reversals and clarifications rather than a sign of breakdown. The distinction worth drawing is between a delay, which keeps existing terms in place, and an agreement that fails to materialize, which reopens the threatened schedule of levies; sourcing here points to the former being unresolved rather than the latter being triggered. Sector exposure is concentrated in cross-border supply chains where vehicles and parts cross the border multiple times, so the tell is whether formal text, exclusion lists or a further postponement emerges, and whether Ottawa's response is retaliatory framing or continued negotiation. Until a finalized document exists, precedent says treat the headline state as provisional.
Sources
- [MARKET UPDATE] Risk-on trade seen at 12:39EDT/17:39BST with desks citing OFAC authorising offloading of some cargo involving some blocked vessels; Downside in oil, equity futures hit new session highs, gold and bonds rallied, while USD saw pressure
- Canadian PM Carney is expected to announce tariff support measures for the steel and automotive sectors
- China and the EU promise deeper antitrust enforcement cooperation and to uphold fair competition across global markets
- [MARKET ANALYSIS] DXY holds steady; AUD benefits after hawkish commentary from RBA's Hauser, whilst GBP digests UK CPI
- Japan and India to hold 2+2 meeting in mid-November, Kyodo reports citing officials; aims to strengthen cooperation in maritime security and economic subjects
Related headlines
- EUROPEAN OPEN: SPCX up after results, TSLA merger talks; SMCI surges on raised outlook; ADS GY beat and raise; DB1 GY beat and raise; CA FP cuts outlook on weak French demand; Belgium pressure to sell BNP FP stake; EQT SS advances on QIA GY 10 hours ago
- [MARKET ANALYSIS] Complex capped by energy; T-notes dip after Tuesday's bull-flattening15 hours ago
- [MARKET ANALYSIS] USD marginally firmer; AUD outperforms; price action quiet elsewhere15 hours ago
- PRE-MARKET JAPANESE AND SOUTH KOREAN STOCK NEWS: Nidec probe holds five former presidents liable; Tsugami lifts H1 profit view; LIG D&A hit with two-year bidding ban17 hours ago
- TREASURY WRAP: T-NOTE FUTURES (Z6) SETTLED 2 TICKS HIGHER AT 105-1021 hours ago
- US FX WRAP: G10 FX peers gain vs. the Buck in risk-on trade22 hours ago
- US President Trump speaking on India, says a trade deal is pretty close22 hours ago
- No Canada-US trade deal expected before American midterm elections, CBC reports, citing sources22 hours ago
- Canada and Turkey set to sign joint declaration during Carney's visit to deepen ties in four areas1 day ago
- Small businesses file a new lawsuit to block US President Trump's tariffs on Canada1 day ago
- US Secretary of State Rubio, on trade deal with India, says down to some technical details that have to be worked out and anticipate seeing in a matter of weeks, not months1 day ago
- Mexico's President Sheinbaum says "we are very close to reaching a trade agreement with the United States"1 day ago
- Canadian Trade Minister says Canada continues to have trade talks with its US counterparts; are going to find a deal with the US at some point that is in the interest of the entire Canadian economy1 day ago
- China's Ministry of Commerce expressed firm opposition to US sanctions imposed on Oct 19 against five Chinese enterprises under the Protect American Intellectual Property Act over alleged trade secret theft.1 day ago
- China's Commerce Ministry, on US order on DeepSeek, says China firmly opposes this and US move is discriminatory, politicises tech and trade issues under guise of national security1 day ago