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.

Want to track the upstream and downstream forces affecting Automotive? Don’t miss this week’s updates in Manufacturing and Oil & Gas.

Dates: 2025-07-13 to 2025-07-19

📋 In This Week's Newsletter

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

Canadian Federal GR News

CBSA Opens New Marine Container Examination Facility at Port of Halifax

The Canada Border Services Agency, together with the Halifax Port Authority and various stakeholders, marked the opening of a new Marine Container Examination Facility (MCEF) in Halifax on July 16, 2025. The facility, built with a $25 million investment, combines funds from the Halifax Port Authority, $7 million from Transport Canada’s National Trade Corridors Fund, and $879,000 in CBSA-specific infrastructure upgrades. The 2,700 square-metre building, operational since April 7, 2025, is equipped with ten examination bays, a truck gate with electronic scanners, and EV charging stations. The facility supports efficiency by reducing the need to transport containers off-site for inspection and introduces supply chain, employee, and port safety improvements. CBSA officers at the new site intercepted 189 stolen vehicles and $208M worth of narcotics from March 2024 to July 2025. The site is expected to assist in enforcing various import and export regulations, including for vehicle shipments, and reduce truck traffic and related emissions through direct port access.

Sources: Announcements: www.canada.ca, Announcements: www.canada.ca

Canadian International Trade Tribunal Opens Preliminary Injury Inquiry on Imported Steel Strapping

The Canadian International Trade Tribunal (CITT) has announced the start of a preliminary injury inquiry related to the alleged dumping of steel strapping from China, South Korea, Tcrkiye, and Vietnam, and the subsidizing of steel strapping from China. The CITT determined on July 10, 2025, that there is a reasonable indication that domestic industry is threatened by these imports, triggering a formal review under the Special Import Measures Act. The inquiry will examine market impact, pricing, and injury to Canadian producers. The determination specifically addresses steel strapping used for securing products and materials, with exclusions identified in the Tribunal’s notice.

Sources: Gazette, Part I: www.gazette.gc.ca

Statistics Canada: New Motor Vehicle Sales Rise on the Back of Strong Truck Demand

Statistics Canada reported that 194,524 new motor vehicles were sold in Canada in May 2025, marking a 5.0% increase over May 2024. Sales gains were driven entirely by trucks, which recorded a 7.0% year-over-year increase, while passenger car sales fell 6.8% over the same period. In dollar terms, total vehicle sales rose 2.0%. The data reflect continued consumer preference for trucks versus passenger cars in the Canadian market for the reporting period.

Sources: Open Government Data Set: www.statcan.gc.ca

Environment and Health Publish Updated List of Priority Chemical Substances for Assessment

The Department of the Environment and the Department of Health published a new Plan of Priorities under the Canadian Environmental Protection Act (CEPA), which details chemicals and substances prioritized for environmental and human health assessment. The list features several classes of substances associated with risks relevant to the automotive sector, such as styrene (a key plastic monomer), nanoscale metals (including nanosilver and nano-zinc oxide), and flame retardants. The plan also prioritizes risk management activity for existing substances, as well as future engagement on specific classes where new data emerges. Stakeholders may request substance additions under section 76 of CEPA. The work plan will be reviewed and updated to reflect assessment timelines and emerging substance concerns.

Sources: Gazette, Part I: www.gazette.gc.ca

Federal Support Announced for Canadian Steel Sector

On July 16, 2025, the Department of Finance Canada announced support measures for the Canadian steel sector. While specific program details or new financial allocations were not disclosed in the summary, the announcement flags the federal government’s ongoing approach to backing the steel industry, which provides critical upstream materials for the automotive and heavy equipment manufacturing sectors.

Sources: Announcements: www.canada.ca

US Federal GR News

Commerce Delays Preliminary Rulings on Chassis Imports from Mexico, Thailand, and Vietnam

The U.S. Department of Commerce announced the postponement of its preliminary determinations in the less-than-fair-value (LTFV) investigations into certain chassis and subassemblies imported from Mexico, Thailand, and Vietnam. The preliminary determinations, initially due August 5, 2025, have been rescheduled to no later than September 24, 2025. The extension comes following a request from the U.S. Chassis Manufacturers Coalition to allow for supplemental questionnaires and additional fact-finding. Commerce cited the complexity of the case and the need for further analysis of these vehicle components, which have not previously been examined in a market economy context. The decision extends the timeline for both preliminary and final determinations in these AD/CVD investigations.

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

USTR Launches Section 301 Probe into Brazil’s Preferential Tariffs Affecting Motor Vehicles and Parts

The Office of the United States Trade Representative (USTR) initiated a Section 301 investigation into Brazil’s practices regarding digital trade, tariffs, and other trade barriers. The probe specifically addresses Brazil’s use of preferential tariffs that benefit countries like Mexico and India to the exclusion of the United States. The investigation notes that in 2023, Brazil imported nearly $1.7 billion in motor vehicles and auto parts from Mexico at zero tariffs, while U.S. exports of similar products remained subject to tariffs ranging from 14% to 35%. The Section 301 Committee will conduct hearings and accept public comments on Brazil’s trade treatment of U.S. exporters, including those in the automotive supply chain.

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

Administrative Reviews of AD/CVD Orders Rescinded for Certain Vehicle-Related Products

The U.S. Department of Commerce rescinded several antidumping (AD) and countervailing duty (CVD) administrative reviews covering the period ending December 31, 2024, through March 31, 2025. The rescissions apply to products including common alloy aluminum sheet (used in automotive and transport applications) imported from over a dozen countries. The actions were taken after all review requests were withdrawn within the allowed 90 days, resulting in cancellation of pending reviews for the specified periods.

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

ITC Amends Metal Parts Investigation; Nanolaminate Alloy-Coated Components

The U.S. International Trade Commission (ITC) upheld an initial determination from its administrative law judge to amend the complaint and notice of investigation in Investigation No. 337-TA-1431 relating to certain nanolaminate alloy-coated metal parts. The ITC’s decision, formalized on July 9, 2025, involved updating respondent names and removing affected parties following procedural motions. The probe, initiated in January 2025, involves alleged infringement of U.S. patents related to nanolaminate coatings and includes multiple respondents across the U.S., China, the Philippines, and India. The changes ensure that the investigation proceeds against the correct legal entities alleged to be involved in the import and sale of the parts.

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

PHMSA Approves and Denies Special Permits for Transport of Hazardous Materials in Vehicle Safety Systems

The Pipeline and Hazardous Materials Safety Administration (PHMSA) issued its latest notice regarding actions on special permits for hazardous materials transportation, including components used in automobile safety systems. Notably, the agency denied a request by Daicel Safety Systems (Thailand) to manufacture non-DOT specification cylinders for use in automotive safety systems. Other permits granted cover packaging design changes and transportation of hazardous materials relevant to vehicle batteries and components. These updates affect manufacturers and carriers responsible for compliance with U.S. hazardous materials regulations in the automotive sector.

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

Canadian Provincial GR News

Ontario Fines Vehicle Rust Protection Business for Environmental Violations

Autosafe Systems Inc., operating as Krown Rust Control, was fined $9,500 by the Ontario Ministry of Environment for failing to comply with orders related to air emissions and sector registry registration at its Peterborough facility. The fines were imposed following observed release of oil mist during rust-inhibitor application and a lack of required registration.

Sources: Provincial Announcement: news.ontario.ca

Mississauga Automotive Parts Manufacturer Penalized After Workplace Fatality

Allied Tooling Technologies Inc. in Mississauga was fined $120,000 following a workplace fatality involving a CNC lathe. The Ministry of Labour determined a machine guard and interlock system had been bypassed, violating the Occupational Health and Safety Act.

Sources: Provincial Announcement: news.ontario.ca

Quebec Appoints New Chair to Road Safety Consultation Table

The Quebec Ministry of Transport named François Paradis as chair of the Concerted Action Table on Road Safety, a stakeholder forum established as part of the province's 2023–2028 Road Safety Action Plan.

Sources: Provincial Announcement: www.quebec.ca

New Brunswick Supports Fuel Tank Manufacturer’s Expansion

Atelier Gérard Beaulieu, a manufacturer specializing in fixed and mobile fuel tanks, received provincial support loans totaling up to $554,000 to modernize its Saint-Quentin operations and expand its workforce by up to 30 full-time positions.

Sources: Provincial Announcement: www2.gnb.ca

Saskatchewan Awards $1.54 Million for Traffic and Road Safety Projects

The Government of Saskatchewan announced nearly $1.54 million in grants for 62 traffic and pedestrian safety projects in 61 communities, including road, lighting, and crossing enhancements.

Sources: Provincial Announcement: www.saskatchewan.ca

What We're Reading This Week

• Business Brief: Tariffs roll onto U.S. car lots: The Globe and Mail reviews new tariffs affecting auto retailers in the U.S.
• 'Egregious': Inside legal fights over a Canadian EV battery plant getting $15B in tax breaks: CBC examines legal disputes surrounding a major Canadian EV battery project.
• 'It’s not fair’: Ottawa to pay out rebates to Tesla and car dealerships — but not to these Canadian EV buyers: The Star reports on the scope and limitations of federal EV rebates.
• Electric Vehicle Market Poised for Growth, Expected to Hit USD 713.07 Billion by 2032: Market projections for global EV growth.
• Open the door to cheaper electric vehicles from Europe, advocates urge: CTV summarizes calls for expanded EV import options in Canada.
• New York State to Offer New Commercial EV Incentives in August; Perfect Time to Buy the Bollinger B4 All-Electric Truck: Details on developing EV incentives for commercial vehicle fleets in New York.
• The reality of electric vehicles in Canada: CTV News video discusses the current landscape of EVs in Canada.
• Drivo Revolutionizes Car Rentals in New York with New Business-Focused Services: The Globe and Mail covers new business-oriented models in car rentals.
• Electric vehicle demand, supply and policy: An evolving Canadian story: CBC analyses shifts in Canadian electric vehicle supply and government policy.
• Global automakers press for clarity as US, Canada head into fresh round of auto rules: CTV outlines industry perspectives on upcoming rule changes across North America.

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