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As of April 2025, new tariffs have been implemented that significantly impact the Canadian classic car market. These changes affect import costs, parts availability, and overall market dynamics. Here’s what you need to know and how to navigate these developments.
In response to U.S. tariffs on Canadian automobiles, Canada has imposed a 25% tariff on non- Canada-U.S.-Mexico Agreement vehicles, and non-Canadian and non-Mexican content of CUSMA compliant fully assembled vehicles, imported from the United States, effective April 9, 2025. This currently includes classic cars over 25 years old, which were previously subject to a standard 2.5% duty with exceptions.
Additionally, a 25% tariff on imported auto parts is set to be enforced starting May 3, 2025, with no current clear exemptions for classic cars parts.
The new tariffs mean that importing a classic car from the U.S. now incurs significantly higher costs. For example, a vehicle previously subject to a 2.5% duty may now face a 25%+ tariff, substantially increasing the overall expense
The impending tariffs on auto parts could lead to higher prices and reduced availability of essential components for classic car restoration and maintenance, especially the longer it goes on as local warehouses run out of stock. This may affect the ability of enthusiasts to keep their vehicles in top condition.
Before importing a classic car or parts, check whether the items are subject to the new tariffs. Some vehicles and components may qualify for exemptions under trade agreements like the USMCA, particularly if they meet specific origin criteria.
Given the increased costs associated with importing, exploring domestic sources for classic cars and parts may be more economical. Local auctions, dealerships, and enthusiast networks can be valuable resources.
If importing is necessary, budget for the higher tariffs and potential delays in parts availability. This foresight can help prevent unexpected costs and project setbacks.
The recent tariffs have introduced new challenges for the Canadian classic car community. By staying informed and adapting strategies accordingly, enthusiasts can continue to enjoy and preserve their vehicles despite the changing landscape.
