General Motors Corporation will invest 1.1 billion Canadian dollars (791 million dollars) in the development of its production facilities in Canada. The funds will specifically be directed towards the launch of new heavy truck production at a plant in Ontario. This decision comes against the backdrop of new tariffs imposed by the United States. This was reported by Reuters.
The investment agreement has been signed between the automaker and the union of GM employees in Canada. Reuters notes that the Canadian automotive industry is under pressure due to the 25% tariffs imposed by the United States.
The main focus of the investment is the production of the next generation GMC Sierra pickup and a new V8 engine. Additionally, under the agreements reached, Canadian workers' wages will increase by 3% over the next three years.
Earlier this month, U.S. Trade Representative Jamison Greer stated that Ottawa had rejected Washington's proposed bilateral trade agreement. In response, since August 22, the U.S. has imposed 50% import tariffs on certain categories of Canadian goods. Canadian Prime Minister Mark Carney confirmed the cessation of negotiations with the U.S. and announced retaliatory measures. He emphasized that a
