People familiar with the matter say the Trump administration is preparing to reduce the White House’s 25% tariff on Canadian car imports to 15% as part of a broader deal in which Canada would withdraw retaliatory trade measures. The 25% levy, imposed last year on foreign-made cars and trucks, is applied only to the non-U.S. content of vehicles produced in Canada and Mexico; sources say the proposed 15% rate would use the same non-U.S. content calculation. Terms are not finalized and the outcome

People familiar with the matter say the Trump administration is preparing to reduce the White House’s 25% tariff on Canadian car imports to 15% as part of a broader deal in which Canada would withdraw retaliatory trade measures. The 25% levy, imposed last year on foreign-made cars and trucks, is applied only to the non-U.S. content of vehicles produced in Canada and Mexico; sources say the proposed 15% rate would use the same non-U.S. content calculation. Terms are not finalized and the outcome remains uncertain; Trump has previously modified or cancelled trade agreements at late stages.