From Trump Tariffs to Tokyo Drift: How Canada’s New Automotive Future May Include JDM Imports
- the DREAM
- Jan 18
- 5 min read
Updated: Apr 3
Trump’s brought his signature bravado to the global stage with a potential 25% tariff on Canadian imports. Why? Because nothing says "Make America Great Again" like punching your closest ally in the face. For Canadians, this tariff tantrum spells trouble, especially in the auto market. So buckle up, folks—here’s how this might hit your wallet.
Importing a JDM car could be the best bang for your buck under the threat of upcoming tariffs. We look at the background, consequences to the auto industry and market,where it could hit consumers, and how importing JDM cars could circumvent this mess.
Let’s face it: Donald Trump has all the subtlety of a schoolyard bully—except instead of picking on kids his own size, he’s the guy who cozies up to bigger, scarier bullies (hello, Daddy Vladdy!) while taking cheap shots at smaller, reliable friends like Canada. This time, he’s brought his overinflated ego to the global stage with a potential 25% tariff on Canadian imports. Why? Because it’s easier to flex on your friendly neighbor than to tackle real economic challenges. For Canadians, this tariff tantrum spells trouble, especially in the auto market. So buckle up, folks—here’s how this might hit your wallet.
Trump vs. Canada: Just tariff'ic
A tariff is essentially a tax on imports. When one country slaps tariffs on another’s goods, the goal is to make foreign products more expensive in their own country, theoretically encouraging consumers to buy domestic instead. So potentially, a barrel of Canadian oil would be more expensive than an American equivalent.
Trump’s reasoning for these proposed tariffs is a heady cocktail of nationalism, economic posturing, and sheer ego. Trump, in his trademark "art of the deal" style, claims tariffs will revitalize American industries and bring jobs back to the U.S. His gripe? Trade deals that he claims "cheat" America—never mind that most economists disagree. His solution? Slapping a tax on Canadian goods, including cars, steel, and aluminum, because why build bridges when you can burn them? (Reuters).
But—and it’s a big but—this logic crumbles faster than Trump’s casinos (Trump Plaza, Trump Castle, Trump Taj Mahal, Trump 29, and Trump World's Fair) when you look at how interconnected global supply chains are. Here’s the kicker: these tariffs won’t actually achieve Trump’s goal of revitalizing the U.S. auto industry. Why? Because the global auto market isn’t a simple game of "Made in America vs. Made Elsewhere."
Tariffs: How to Total an Industry Without Driving a Single Car
The North American auto industry is more interconnected than the Kardashians’ social media accounts. Take car manufacturing as an example. A vehicle built in Canada often has parts crisscrossing the border multiple times before assembly is complete. Engines might be made in Ontario, seats in Michigan, and electronics in Mexico. Slapping a 25% tariff on Canadian cars doesn’t just hurt Canadian manufacturers; it inflates costs for American automakers too. In fact, Ford and GM have already warned that such tariffs would backfire by increasing prices for American consumers on American cars (Bloomberg). Disrupting this flow doesn’t just hurt Canadians—it raises costs for everyone, including Americans. It’s like trying to win a three-legged race by kicking your partner in the shin.
The problem is, China and Canada and Mexico don’t actually pay the tariffs. The American company that imports their goods pays the tariff, which they, of course, pass down to us. And then [Americans] have $40 avocados as a result. Jimmy Kimmel
Road Rage: The Canadian Auto Industry vs. Trump’s Tariffs
For Canadians, a 25% tariff is the financial equivalent of hitting a moose on the highway—messy and expensive. New car prices could skyrocket as production costs climb, with some estimates suggesting thousands of dollars added to sticker prices (Canadian Auto Dealer). And used cars? Don’t hold your breath for a bargain. With fewer vehicles crossing the border, supply will shrink, inflating prices faster than Trump after 30 seconds with Stormy Daniels. You could expect to find used car prices inflating like they did during the supply-chain crisis during Covid-19.
Japanese Manufacturers in Canada
Let’s talk about Toyota and Honda, two pillars of Ontario’s auto manufacturing scene. They’ve been quietly cranking out reliable cars while Trump’s been busy shouting about "Fake News." If these tariffs hit, their vehicles (Honda: Civic and CR-V; Toyota: RAV4 and Lexus' NX and RX)—built in Canada for both domestic and U.S. markets—could suddenly become overpriced in the States (Bloomberg). That’s bad news for Canadian jobs and worse news for Trump’s dream of a thriving American auto sector.
Maintenance and Fuel Costs
The ripple effects don’t stop there. Higher vehicle prices mean costlier insurance premiums. Maintenance? Forget about it. Parts, often sourced from the U.S., could carry hefty tariffs. As for fuel, while Canada’s oil production might keep prices somewhat stable, any disruption to the U.S.-Canada energy trade could turn your wallet into an endangered species (AP News).
Tokyo Drift in Toronto: Can JDM Cars Solve Canada’s Auto Woes?
If buying new or used cars in Canada starts to feel like choosing between rent and transportation, what about importing JDM vehicles from Japan? Here’s the good, the bad, and the "only in Canada" reality.
Cost-Effective Options: Thanks to Japan’s Shaken system (their version of an automotive Hunger Games), 15-year-old cars are often in very good condition and sold cheaply overseas. Canadian import laws allow these gems to hit our roads, dodging U.S. tariffs entirely.
Models: Ever dreamed of owning a Nissan Skyline or a Toyota Crown... or maybe a Prius on the cheap? With the Yen still low compared to the loonie. JDM imports offer Canadians a chance to drive cars that would make your neighbor’s Honda Civic look like a rusty wheelbarrow (Car Throttle).... or your imported 15-year-old Civic to be a significantly less rusty wheelbarrow.
Fuel Efficiency: Many JDM hybrids, like the early Toyota Prius models, sip fuel like a green tea in the hands of a samurai (yeah,... season 1 of Shogun was awesome). New and used Prius in decent condition are hard to come by and many Japanese hybrids have similar engines to their NA counterparts.
Parts Availability: Need a replacement part for your imported kei car? You’d better hope Amazon starts shipping directly from Japan. Otherwise, get ready for long waits and high prices. While this does apply to things like body panels and other unique parts, your typical maintenance on a Honda or Toyota probably has a North American equivalent spark plug or fan belt. Additionally, you might find that the scrap yard may be your best friend! As imports are a minimum of 15 years or older, Canadian wreckers may have these older parts in abundance. Of course I'm not talking Skyline parts here. But maybe for your JDM Honda Odyssey or Civic?
Insurance : Insuring a JDM vehicle can sometimes be like asking Trump to admit he’s wrong—difficult and expensive. This can apply to some of your more 'legendary' JDMs. But a 15 year old Kei or a Prius will be at a price that is near-comparable to North American rates. However, you will be more limited in your insurance provider: Hagerty/Mitch Insurance in Ontario. Check with you Service InsertProvinceHere , insurance agent or the Ministry of Transport before you buy
Canada’s Road Ahead
Trump’s tariff threats are like a giant pothole on Canada’s economic highway—avoidable with careful navigation but costly if ignored. While these measures might temporarily rattle the auto market, Canadians are nothing if not resourceful. Whether it’s supporting domestic manufacturers, exploring JDM imports, or just outsmarting Trump’s next move, we’ll adapt. After all, what’s more Canadian than turning adversity into opportunity?
As for Trump? Maybe someday he’ll realize that diplomacy isn’t a schoolyard brawl. But let’s be real—we’re probably better off preparing for the next round of drama.
What are your thoughts on this debacle?
Do you see yourself buying a car in the next few years amid the tariffs?
Do you think Canada's current/future government is up to the challenge? Comment below, but keep it constructive and respectful.