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: 2025-09-07 to 2025-09-13

📋 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

Government Launches $5 Billion Strategic Response Fund for Tariff-Impacted Sectors and Announces Flexibility for 2026 Model Year EV Standards

On September 8, 2025, Minister Mélanie Joly, serving as both Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, announced several initiatives targeting Canadian industries affected by U.S. tariffs, such as aluminium and steel. The federal government will establish a $5 billion Strategic Response Fund, offering flexible financing to help businesses adapt, diversify, and invest in workforce training through new alliances. A forthcoming Buy Canadian policy will direct federal procurement toward domestic suppliers and extend these requirements to Crown corporations and other public funding streams, with guidelines for provinces and municipalities. The Business Development Bank of Canada loans for SMEs will be expanded to $5 million, and large enterprises can access a Tariff Loan Facility with more flexible terms. The auto sector receives immediate relief, with 2026 model year vehicles exempted from the Electric Vehicle Availability Standard and the commencement of a 60-day review to identify cost-reduction opportunities. Additionally, the government will allocate $1 billion over three years in a Regional Tariff Response Initiative to support SMEs, offering non-repayable contributions for businesses in several industries, including agriculture and seafood. These measures are intended to assist firms in responding to ongoing trade disruptions and evolving market conditions.

Sources: Announcements: www.canada.ca

CBSA Issues Preliminary Determination of Dumping on Carbon and Alloy Steel Wire Imports

The Canada Border Services Agency rendered a preliminary determination under the Special Import Measures Act on September 4, 2025, concerning dumping of certain carbon and alloy steel wire from China, Chinese Taipei, India, Italy, Malaysia, Portugal, Spain, Thailand, Türkiye, and Vietnam. This determination triggers provisional duties on subject goods imported from September 4, 2025, until an order or finding is issued, or the investigation ends. The Canadian International Trade Tribunal now has up to 120 days to assess whether the alleged dumping has caused injury to Canadian industry. Provisional duties are set not to exceed the estimated margin of dumping, and the Customs Act will govern timely payment, with interest applicable on missed payments. Stakeholders can access the full product definitions and tariff classifications via the CBSA website, and the Statement of Reasons for this decision will be published within 15 days of the determination.

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

StatsCan Reports Second Quarter Surge in New Motor Vehicle Registrations

Statistics Canada reported on September 8, 2025 that Canadian consumers registered 541,566 new vehicles in Q2 2025. This figure represents a 5.9% year-over-year increase and a 26.9% rise over the previous quarter. The second quarter marks the highest registration total since the onset of the COVID-19 pandemic, occurring alongside prevailing concerns over automotive tariffs. The change signals continued momentum in consumer demand for new vehicle purchases, with potential implications for both domestic automakers and importers.

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

Canadian International Trade Tribunal Launches Expiry Review of Corrosion-Resistant Steel Sheet from Türkiye and Vietnam

The Canadian International Trade Tribunal on September 9, 2025, initiated an expiry review of its 2020 finding regarding anti-dumping and countervailing duties on corrosion-resistant steel sheet II from Türkiye and Vietnam. The process is designed to assess whether terminating current measures would likely result in continued or resumed dumping, subsidization, and injury to Canadian industry. The Canada Border Services Agency will decide on the likelihood of resumed dumping or subsidization by February 6, 2026, followed by a Tribunal determination on potential injury by July 16, 2026 if such a risk is found. Interested parties can file a notice of participation through the Tribunal’s procedures.

Sources: Announcements: www.canada.ca

Red Tape Reduction Office Publishes Progress on Regulatory Modernization

Treasury Board President Shafqat Ali announced on September 8, 2025, the release of progress reports related to nearly 500 initiatives aimed at reducing regulatory barriers for Canadians and businesses. The measures, developed by the Red Tape Reduction Office, focus on minimizing duplication, cutting costs, and enabling faster access to new products—including drugs and major projects. Sectors such as transportation and agriculture have been identified for accelerated decision-making processes, with findings supporting collaboration with trading partners and streamlining market access. The reports highlight federal engagement with provinces and territories to promote a competitive, efficient regulatory environment.

Sources: Announcements: www.canada.ca

Minister Sidhu Discusses Trade Diversification and Export Infrastructure in Alberta

On September 12, 2025, Minister of International Trade Maninder Sidhu completed a trade-focused visit in Edmonton, Alberta. During the trip, Minister Sidhu addressed business leaders, entrepreneurs, and stakeholders on Canada's current trade diversification strategy, highlighting the role of the Trade Commissioner Service, Export Development Canada, and free trade agreements in supporting small and medium-sized exporters. The minister's agenda included attendance at Alberta’s Industrial Heartland Association annual conference, visits to Imperial Oil’s new renewable diesel facility—which is set to become Canada’s largest upon full capacity—and the Edmonton International Airport. Minister Sidhu outlined the government's commitment to expanding foreign direct investment, supporting export infrastructure, and reinforcing Canada's position in energy and advanced manufacturing supply chains.

Sources: Announcements: www.canada.ca

US Federal GR News

USITC Invites Public Comments on Proposed Remedies for Vehicle Telematics, Fleet Management, and Video-Based Safety Systems Patent Dispute

On September 12, 2025, the U.S. International Trade Commission requested submissions concerning public interest issues related to a Section 337 investigation of certain vehicle telematics, fleet management, and video-based safety systems. Following a final initial determination by an administrative law judge involving Motive Technologies Inc., the USITC is seeking comments from the public and government agencies regarding a recommended limited exclusion order and cease-and-desist order. Stakeholders are encouraged to address how proposed relief could impact public health, competitive market conditions, domestic production, and U.S. consumers, specifically focusing on the availability of replacement products and production capacity within the United States. Submissions will be accepted until October 9, 2025, under Investigation No. 337-TA-1393, in accordance with Section 337 of the Tariff Act of 1930.

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

US Department of Commerce Releases Preliminary Results on Countervailing Duties for Korean Steel Plate Imports

On September 11, 2025, the Department of Commerce published preliminary results for the 2023 countervailing duty administrative review of carbon and alloy steel cut-to-length plate imports from the Republic of Korea. POSCO and affiliated entities were preliminarily assessed a net countervailable subsidy rate of 4.31 percent ad valorem for the period January 1 to December 31, 2023. The review rescinded assessments for 54 companies with no reviewable entries during the period. These findings are subject to public comment and further review, with final results expected within 120 days of publication. Provisional assessment instructions for U.S. Customs and Border Protection will follow after the review's conclusion, and updated cash deposit requirements will apply post-final results. Public comments and requests for hearings are accepted within specified timelines.

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

US Department of Commerce Determines No Antidumping on Korean Steel Plate Exports for Most Recent Review Period

On September 11, 2025, the Department of Commerce posted preliminary results for the 2023-2024 antidumping duty administrative review on carbon and alloy steel cut-to-length plate from Korea. The review found that POSCO, POSCO International Corporation, POSCO MS, Taechang Steel Co., Ltd., and Winsteel Co., Ltd. (constituting the POSCO single entity) made U.S. sales at prices not below normal value, yielding a preliminary weighted-average dumping margin of 0.00 percent for the period May 1, 2023, to April 30, 2024. The results remain open for public comment, with final determinations and instructions for assessment and cash deposit rates issued following the review period.

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

EPA Proposes Approval of Maricopa County VOC Control Rule for Solvent Cleaning Operations

The Environmental Protection Agency on September 11, 2025, proposed to approve revisions to Maricopa County's Rule 331 on Solvent Cleaning, which regulate volatile organic compound (VOC) emissions from solvent use in Phoenix-Mesa, Arizona. The updated rule sets a more stringent definition for 'Low VOC Cleaner' and clarifies operational standards, reporting, and recordkeeping. This revision is intended to replace older SIP-approved regulations for solvent cleaning. Public comments are being accepted through October 14, 2025. Final EPA action will determine if the new rule becomes federally enforceable.

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

FTC Seeks Public Comment on Extension of Information Furnishers Rule Covering Motor Vehicle Dealers

The Federal Trade Commission announced on September 9, 2025, its request for public input regarding the three-year extension of the 'Duties of Furnishers of Information to Consumer Reporting Agencies' rule, which falls under the Paperwork Reduction Act. The rule applies to certain motor vehicle dealers and complements the Consumer Financial Protection Bureau’s requirements for other furnishers. It obliges dealers to establish written procedures ensuring data accuracy with consumer reporting agencies and to quickly respond to direct consumer disputes. Annual compliance is estimated at 15,423 hours of labor and $942,021 in costs. The public comment window closes October 9, 2025.

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

Canadian Provincial GR News

Ontario Supports $100 Million Investment in Battery-Grade Cobalt Refinery, Boosting Domestic EV Supply Chain

The Ontario government announced nearly $100 million in investment from Electra Battery Materials for a new cobalt sulphate refinery in Temiskaming Shores, supported by a $17.5 million provincial contribution. This development aims to reinforce the province’s role in critical mineral processing and strengthen Ontario’s electric vehicle battery manufacturing ecosystem.

Sources: Provincial Announcement: news.ontario.ca

What We're Reading This Week

• Scrapping 100% tariff on Chinese EVs would be death knell for Canada’s auto industry, experts warn: Experts discuss the potential industry impact if Canada lifts tariffs on Chinese electric vehicles.
• Ottawa considering scrapping tariffs on Chinese electric vehicles: Reports surface of possible changes to tariffs on Chinese EV imports.
• Pausing the EV sales mandate might not be bad for the climate: Analysis explores the emissions effects of the federal government's EV mandate pause.
• Mark Carney could make it easier for us to buy EVs if he wanted. Right now he’s making it harder: Commentary on central bank decisions and their effects on EV affordability.
• EV targets should reflect market demand, says GM Canada president who welcomes mandate pause, review: GM Canada's top executive describes the rationale behind the pause in federal EV sales targets.
• Many EV owners say they’re undeterred after the federal government’s mandate pause: EV drivers respond to the evolving federal policy landscape.
• Ottawa should pull the plug on EV mandates: Editorial debates the merits of federal electric vehicle policies.
• Adam Pankratz: Just put EV mandate out of its misery already: Opinion column addresses regulatory obstacles to electric vehicle implementation.

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