QSA's Week in Automotive (#27, 2025)

Canada commits $221K for Simcoe ZEV transit strategy; Internal trade barriers dropped under new One Canadian Economy Act; U.S. launches multiple tire reviews, extends tariff suspensions, and opens new engines circumvention inquiry.

QSA's Week in Automotive (#27, 2025)

Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news for car manufacturers, parts suppliers, car dealers, and others in the automotive industry. Every Monday, we break down the most important updates in this space in under five minutes.


Dates: 2025-07-06 to 2025-07-12

📋 In This Week's Newsletter

• 🇨🇦 Canadian Federal GR News
• 🇺🇸 US Federal GR News
• 🗺️ Canadian Provincial GR News
• 📱 Public Officials' Social Media
• 📚 What We're Reading This Week


Canadian Federal GR News

Investment announced to help Simcoe County transition to zero-emission transit

On July 8, the federal government confirmed a $221,116 joint investment to aid the County of Simcoe, Ontario, in developing a strategy for zero-emission transit systems. Minister Gregor Robertson, alongside local and industry leaders, detailed the allocation of funds for a comprehensive review of economic, technological, and operational considerations related to electrification of public transportation fleets. The initiative seeks to support regional municipalities in evaluating the potential for transitioning to electric vehicle (EV) transit options. The strategy will address aspects including charging infrastructure, procurement requirements, and total cost of ownership. This funding is part of a broader push to accelerate adoption of zero-emission vehicles by public transit authorities, which could affect demand for EV buses, charging equipment, and aftermarket service providers. The project is expected to produce recommendations on fleet composition, deployment timelines, and workforce needs associated with electrification.

Sources: Announcements: www.canada.ca
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Federal and provincial governments agree to eliminate internal trade barriers under new legislation

On July 8, Minister Chrystia Freeland met with provincial and territorial representatives at the Committee on Internal Trade to announce a series of measures aimed at removing barriers to domestic commerce. Recent legislation—the Free Trade and Labour Mobility in Canada Act (part of the One Canadian Economy Act)—has passed, committing the federal government to eliminating all federal exceptions in the Canadian Free Trade Agreement (CFTA). The measures include expanded mutual recognition in the trucking sector, a 30-day processing standard for labour mobility applications, an upcoming Trucking Hackathon, and a plan to extend mutual recognition for goods (excluding food) by December 2025. The government also signed a Memorandum of Understanding to establish direct-to-consumer alcohol sales, targeted for May 2026, and committed to launching internal trade missions. These changes are expected to remove regulatory obstacles affecting the motor vehicle industry, including procurement and trucking standards that previously varied by province.

Sources: Announcements: www.canada.ca

Minister Sidhu conducts trade, innovation, and manufacturing visits in Alberta

Minister Maninder Sidhu spent three days in Calgary from July 3 to July 5, engaging with provincial government officials and business executives. The minister met with Alberta’s Jobs, Economy, Trade and Immigration Minister Joseph Schow to discuss collaboration on trade diversification and promotion, including Team Canada trade missions. Minister Sidhu also delivered remarks on Canada-UAE business relations and toured advanced manufacturing facilities, including Carbon Upcycling Technologies, Carbonova, and De Havilland Aircraft of Canada. Discussions with aerospace and defense industry leaders focused on the use of technology to reduce emissions and improve product competitiveness. The agenda included engagements with Canadian Manufacturers & Exporters and the Canadian Chamber of Commerce, focusing on Western Canadian trade priorities and market opportunities for Canadian automotive and manufacturing exporters.

Sources: Announcements: www.canada.ca

US Federal GR News

White House extends tariff suspension, announces new reciprocal tariff rates for trading partners

On July 7, President Trump signed an executive order extending the suspension of certain reciprocal tariffs through August 1, 2025. These measures, originally imposed under Executive Order 14257 and temporarily suspended under EO 14266, were set to expire July 9 but are now prolonged to facilitate ongoing discussions with major trading partners (excluding China). The same day, a White House fact sheet outlined new tariff rates to take effect August 1 across a range of countries.

Sources: White House Announcements: www.whitehouse.gov, White House Announcements: www.whitehouse.gov

Final results issued for U.S. countervailing duty review on Chinese passenger vehicle and light truck tires

On July 11, the U.S. Department of Commerce released the final results of its 2023 administrative review concerning countervailable subsidies for Chinese passenger vehicle and light truck (PVLT) tires. For the review period January 1 to December 31, 2023, Jiangsu General Science Technology Co., Ltd. was assessed a net countervailable subsidy rate of 125.50%.

Sources: U.S. Federal Announcements: www.federalregister.gov

Canadian Provincial GR News

Alberta announces traffic and utility regulation changes

On July 9, Alberta made amendments to the Use of Highway and Rules of the Road Regulation and made several changes to energy and electric utilities regulations, as per Orders in Council published July 10, 2025.

Sources: Provincial Announcement: www.alberta.ca

Alexander Chemical, majority Indigenous-owned, expands clean diesel exhaust fluid capacity

The Alberta government reported that Alexander Chemical, backed by a $400,000 ABIF grant, has expanded its Calgary facility to increase production of diesel exhaust fluid, now serving clients across multiple industries.

Sources: Provincial Announcement: www.alberta.ca

B.C. simplifies HOV lane access for electric vehicles

Starting August 15, 2025, B.C. EV drivers will no longer need an 'OK' decal for HOV lanes; access will be governed by signage, and certain out-of-province EVs and electric heavy-duty trucks will also become eligible.

Sources: Provincial Announcement: news.gov.bc.ca

Quebec launches public awareness campaign on mandatory helmet use for e-scooters

Quebec's Ministry of Transport began a campaign focused on enforcing helmet requirements for electric scooter users, citing over 1,000 violation notices issued in major cities since 2023.

Sources: Provincial Announcement: www.quebec.ca

Public Officials' Social Media

On July 7, Senator Denise Batters circulated a video via social media in which Andrew Scheer criticizes the federal government's electric vehicle mandate, raising concerns linked to Prime Minister Carney and prior associations.

Sources: Social Media: x.com

What We're Reading This Week