Updated March 18, 2025, 2:00pm PST
The US tariffs on cars imported from Canada and Mexico has been delayed until April 2, 2025.
We want to clarify what this means for you, our customers. First and foremost, the fundamental structure of the export market remains largely unchanged.
Duties and tariffs are based on country of origin, not country of export. As a result, the overwhelming majority of vehicles on the Signal platform are unaffected.
As a refresher, the United States-Mexico-Canada Agreement (USMCA) provides duty-free treatment for qualifying vehicles manufactured in member countries. Vehicles must meet specific regional content requirements to qualify for these tariff exemptions.
Here's what you need to know:
No Duty
1 / 4 / 5 VINs (U.S. Origin)
- Vehicles manufactured in the U.S. (VINs starting with 1, 4, or 5) are exempt from tariffs.
Conditional Tariffs
2 & 3 VINs (Canadian & Mexican Origin)
- If GM built after 07/2020 and falls under USMCA: No duty
- Otherwise: 25% for all vehicles, plus:
- Additional 2.5% for Passenger Cars and MPVs (total 27.5%)
- Additional 25% for Trucks (total 50%)
Standard Duty Rates
Other VINs (European & Asian Origin)
- L VINs (China): 55% duty for all vehicles
- All Other Countries (Japan, Korea, UK, France, Spain, Switzerland, Germany, Sweden/Finland, Italy):
- Passenger Cars/MPVs: 2.5%
- Trucks: 25%
Operational Updates
The Signal platform will continue to be updated to reflect what is happening in the market, specifically in our appraisal tool and export calculator. This will ensure you can continue to make accurate appraisal decisions.
Market Outlook
Canadian dealers are still uniquely positioned to benefit from the export market, due to unique currency conditions.
Signal remains committed to supporting our customers’ success with our comprehensive platform and expertise. These market shifts are creating unique opportunities and we're here to help turn these challenges into advantages.
Please reach out to our team with any questions you may have. We’re here for you, every step of the way!
- Tane
