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    Tariffs Push Honda to Move Production From Canada to U.S.

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    President Trump’s trade war again tests Canada’s new government. Honda is also canceling plans for a major electric vehicle factory in Canada.In the face of U.S. tariffs, Honda said on Monday that it would shift production of one of its popular vehicles from Ontario to a U.S. factory and postpone an $11 billion plan to make electric vehicles and batteries in Canada.The announcement came less than a month after Honda denied a report in the Japanese media that President Trump’s tariffs would force it to pull back in Canada.It also poses a major challenge for Prime Minister Mark Carney of Canada, who won a stunning victory in last month’s election after portraying himself as the leader best suited for dealing with President Trump and the trade war between the two countries.The United States has imposed a 25 percent tariff on many Canadian autos and auto parts.Honda’s chief executive, Toshiro Mibe, said in a news conference in Japan that the decision to move the manufacturing of the CR-V sport utility vehicle to the United States was part of the company’s plans to “optimize” production to reduce the effects of tariffs.He blamed sluggish growth of the electric vehicle market for the decision to hold off on an $11 billion expansion of the Ontario factory complex, which would have added battery and electric vehicle production.The expansion, which was backed by substantial financial incentives from the governments of Canada and Ontario, was characterized last year by Justin Trudeau, the prime minister at the time, as the largest investment by an automaker in Canadian history. It was projected to employ 1,000 people and was the signature piece of a series of government-backed moves to shift Canada’s auto industry toward electric vehicles.The effect of the CR-V production move was not immediately known. But, like all auto assembly lines in Canada, the majority of the CR-Vs made in Canada are shipped to the United States.Honda Canada did not immediately respond to a request for comment. It currently employs about 4,200 people at its plant in Alliston, Ontario, which also builds Civic sedans as well as engines.Mr. Carney’s office did not immediately respond to a request for comment on Honda’s decisions. He is set to swear in his new cabinet Tuesday.The announcement by Honda is the latest in a series of moves by the auto industry to pull back plans for expansion in Canada after the imposition of tariffs by the United States.Stellantis suspended the conversion of a factory in a Toronto suburb to make electric and gasoline powered Jeeps. It has shut down its plant in Windsor, Ontario, which makes minivans and Dodge muscle cars, for a total of three weeks and is also reducing its production schedule during the coming weeks.General Motors’ Canadian subsidiary suspended production of an electric commercial van in Ontario. Ford’s lone Canadian assembly plant, in Oakville, Ontario, has been idle for nearly a year after the company abandoned plans to make electric vehicles there. Instead, the plant will eventually start making gasoline-powered pickup trucks. More

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      Elon Musk Leaves Washington Less Than Legendary

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      The partnership between the president and the richest man in the world is coming to an end. There is one clear loser in the breakup of this affair, and it is Elon Musk.He fell from grace as effortlessly as he had risen. Like a dime-store Icarus, he took too many chances, never understood the risks and flew too close to the sun. Wrapped in the halo of his social-media superstardom, he was blinded to the reality of his circumstances until it was too late.Mr. Musk has already inked several lucrative federal contracts and could get far more, but he leaves Washington with his reputation as a genius jack-of-all-trades — a reputation he relied on to boost his company’s stock prices and win investors for his ambitious adventures — severely damaged. Once likened to the Marvel superhero Tony Stark, he is becoming increasingly unpopular. Many formerly proud owners of his Tesla electric cars are trading them in or pasting apologies on their bumpers. Sales have plummeted.Mr. Musk is hardly the first wealthy businessman to decamp to Washington: The Gilded Age millionaires, top hats in hand, focused on currying favor with the Senate, where laws were made and tariffs determined. With the collapse of the economy, the New Deal and the coming of a world war, the White House began to play a significantly larger role in directing the economy, and the businessmen paid it more attention. Dozens of them descended on the capital; others joined the cabinet. No matter when or in what position they served, however, they played by Washington’s rules, taking on well-defined, limited responsibilities and, for the most part, staying out of public view.Mr. Musk broke with that tradition. Nobody was going to shut him up or rein him in. He was in the White House with his 4-year old son on his shoulders, on the stage of a Conservative Political Action Conference rally, promoting his cost-cutting crusade by waving a chain saw. He and his Department of Government Efficiency deputies spread chaos through Washington, locking staffers out of computer systems, gaining access to personal data on private citizens and identifying government employees they deemed expendable.At first, President Trump appeared to endorse every cost-cutting move by his unorthodox adviser, declaring on social media that he and his cabinet were “EXTREMELY HAPPY WITH ELON.” But Mr. Musk then violated the cardinal rule of Trumpland by daring to criticize the president’s policies and appointees — not just once or twice, but with remarkable consistency.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Why Democrats Joined Republicans to Block a California Climate Policy

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      Some said they worried that California’s planned ban on gas-powered vehicles would raise the price of cars. Another cited “intense and misleading lobbying” by the oil industry.Representative Lou Correa, a Democrat who represents parts of Orange County, Calif., drives a hybrid car and wants the federal government to tackle climate change.But he joined 34 other Democrats last week to help Republicans repeal his state’s landmark requirement that all new vehicles sold in California be electric or otherwise nonpolluting by 2035. In doing so, he helped President Trump and the Republican majority to undercut the nation’s transition away from gasoline-powered cars.“I don’t like giving Trump a win,” Mr. Correa said in an interview after the vote. But electric vehicles remain expensive and impractical in his heavily blue-collar district, he said.“We just finished an election where every poll I’m seeing, everybody I talk to, says, ‘You guys need to listen to the working class, the middle class people,” Mr. Correa said. “I’m listening to my constituents who are saying ‘don’t kill us.’”The 246-to-164 vote in the House stunned environmentalists, who said they were struggling to understand why nearly three dozen Democrats voted to kill one of the most ambitious climate policies in the country. For the past few years, Democrats have overwhelmingly voted for stronger policies to tackle global warming.Some wonder whether that unity is starting to fray in the face of intense lobbying and worries about rising prices amid Mr. Trump’s trade wars.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      House Votes to Block California Plan to Ban New Gas-Powered Cars in 2035

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      Republicans, joined by a handful of Democrats, voted to eliminate California’s electric vehicle policy, which had been adopted by 11 other states.The House on Thursday voted to bar California from imposing its landmark ban on the sale of new gasoline-powered vehicles by 2035, the first step in an effort by the Republican majority to stop a state policy designed to accelerate the transition to electric vehicles.The 246-to-164 vote came a day after Republicans, joined by a few Democrats, voted to block California from requiring dealers in the state to sell an increasing percentage of zero-emission, medium and heavy-duty trucks over time. And, lawmakers also voted on Wednesday to stop a state effort to reduce California’s levels of smog.All three policies were implemented under permissions granted to California by the Biden administration. They pose an extraordinary challenge to California’s longstanding authority under the 1970 Clean Air Act to set pollution standards that are more strict than federal limits.And the legality of the congressional action is in dispute. Two authorities, the Senate parliamentarian and the Government Accountability Office, have ruled that Congress cannot revoke the waivers.California leaders condemned the actions and promised a battle.Gov. Gavin Newsom, a Democrat, called the move “lawless” and an attack on states’ rights. “Trump Republicans are hellbent on making California smoggy again,” Governor Newsom said in a statement.“Clean air didn’t used to be political,” he said, adding, “The only thing that’s changed is that big polluters and the right-wing propaganda machine have succeeded in buying off the Republican Party.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Tesla’s Falling Profit May Pressure Elon Musk to Return to Day Job

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      The carmaker is expected to report a decline in quarterly earnings after Tesla’s brand suffered because of its chief executive’s role in the Trump administration.Tesla is expected to report on Tuesday that its profits fell in the first three months of the year, which could increase the pressure on Elon Musk, the automaker’s chief executive, to curtail his work for President Trump and spend more time managing the company.Wall Street analysts expect Tesla to say its net profit declined slightly from $1.1 billion in the first quarter of 2024.Tesla sales have been slumping because of intense competition from Chinese carmakers like BYD, a lack of new models and Mr. Musk’s support of far-right causes, which has turned away some liberals and centrists from buying Tesla vehicles.Tesla remains the most valuable automaker in the world as measured by its stock price, but its shares have lost about half their value since mid-December as investors have grown more pessimistic about the company’s prospects and concerned about Mr. Musk’s role in the Trump administration.Tesla has steadily lost market share to Chinese carmakers and more established automakers, like General Motors, Volkswagen and Hyundai, that have been offering a growing selection of electric vehicles.Mr. Musk’s company once hoped to sell 20 million vehicles a year by the end of the decade, twice as many as Toyota. But sales have been sliding after climbing to 1.8 million in 2023. Last year, the company sold 1.7 million cars, and its global sales fell 13 percent in the first quarter of 2025 from a year earlier.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Tesla U.S. Sales Plunge as G.M. and Others Make Gains

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      Tesla’s sales in the United States fell almost 9 percent in the first three months of the year even as the overall market for electric vehicles grew, according to data compiled by a research firm.Car buyers are moving away from Teslas and toward models like General Motors’ Chevrolet Equinox electric vehicle, which starts at around $35,000 and can travel more than 300 miles on a charge, Cox Automotive, the research firm, said in a report.Sales of all electric vehicles in the United States rose 11 percent during the first quarter to about 300,000 cars and light trucks, Cox said, much faster than the overall auto market, which has been flat. About 8 percent of new domestic car sales were electric, Cox said, a slight increase from 2024.“Despite many obstacles — and what you may read elsewhere — electric vehicle sales continue to grow at a healthy pace in the U.S. market,” the firm said.Tesla, whose chief executive is Elon Musk, still sells far more electric cars in the United States than any other automaker, accounting for 44 percent of the market, according to Cox. But its share has fallen from 51 percent a year earlier.The decline in Tesla’s U.S. sales mirror a global slump. The company said this month that deliveries during the quarter in all markets fell 13 percent to 337,000 vehicles.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Xiaomi Driverless Technology in Focus After Fatal Electric Car Crash

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      A popular electric vehicle made by the Chinese consumer electronics giant Xiaomi crashed into a concrete guardrail while deploying its autonomous driving feature. Three people died.China’s Xiaomi, a consumer electronics giant turned automaker, said it is cooperating with a police investigation into a fatal crash involving one of its electric vehicles while the driver was using the car’s autonomous driving features.A Xiaomi SU7 sedan drove into a concrete guardrail on an expressway in eastern China late on Saturday night at around 60 miles per hour, according to a post on Xiaomi’s official social media account. On Tuesday, local media published reports about the collision and ensuing fire, which killed three college students, along with pictures of the charred remains of the vehicle.Xiaomi said the driver deployed the company’s Navigate On Autopilot, an assisted driving feature, while going around 70 miles per hour on the expressway. The car was traveling at that speed when it reached a roadblock, because a portion of the road was under repair with traffic diverted into a different lane.Seconds before the collision, the car warned that there were obstacles ahead and started to decelerate but it was too late. The company said it called the police and emergency services.The fatal crash took place one year after the launch of Xiaomi’s SU7 electric vehicle, marking a major shift for a company that had gained a cultlike following for its smartphones and home appliances. And the SU7, which bears a resemblance to the Porsche Taycan at a fraction of the price, has been a breakthrough success in China’s cutthroat electric vehicle market. It sold more than 200,000 units in its first year.The ability of a company with no automotive experience to build and sell a car capable of gaining market share so quickly is a testament to the advantages of China’s supply chain of batteries and key components for electric vehicles. It is also a warning to the automotive industry that the competition is no longer limited to traditional car brands, but to almost any company adept at manufacturing electronic products efficiently and inexpensively.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Mining Company Seeks Trump Support to Shortcut Access to Seabed Metals

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      Mining companies and the Trump administration want the metals to boost manufacturing. Environmentalists and some countries worry industrial mining would harm oceans.The long-running battle over whether to allow Pacific Ocean seabed mining took an unexpected turn Thursday when a company disclosed it had been confidentially negotiating a plan with the Trump administration to circumvent a United Nations treaty and perhaps obtain authorization from the United States to start mining in international waters.The proposal, which drew immediate protests from environmental groups and diplomats from some countries, represents a radical shift in the contentious debate over accessing deposits on the sea floor that contain copper, cobalt, manganese and other metals that are needed for electric-car batteries.The International Seabed Authority, established 30 years ago by an agreement now ratified by more than 160 nations, has jurisdiction over seabed mining in international waters, outside the coastal areas of each nation.The Seabed Authority has been slowly crafting regulations governing mining, which remains highly contentious because the potential effects of industrial activity on marine life are unknown.Now the Trump administration, which has already expressed its desire to retake the Panama Canal and assume control of Greenland, is being nudged by the Vancouver-based Metals Company to disregard the Seabed Authority and grant it a license to start mining as soon as 2027.Gerard Barron, the chief executive at the Metals Company, announced the maneuver Thursday after it became clear that it could still be years before the Seabed Authority finalizes mining regulations.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      A Musk Lawsuit in Wisconsin Is the Backdrop to the State’s Supreme Court Race

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      A legal battle over Tesla sales in Wisconsin is the quiet backdrop to a big State Supreme Court race.I was driving from Eau Claire, Wis., to Minneapolis last week when I saw the sign.A Tesla sign.Soon after I crossed the St. Croix River, which divides Wisconsin and Minnesota, a brick-and-steel tower visible from Interstate 94 advertised the Tesla store and service center in Lake Elmo, Minn.The dealership’s proximity to the state line is probably no accident: Wisconsin law prohibits vehicle manufacturers from selling cars directly to customers there, the way Tesla usually does. Instead, companies need to work through local franchisees — think Hank’s Ford or Jimmy’s Subaru, that sort of thing.This means that, in Wisconsin, you can’t actually stroll into a dealership and leave with a Tesla. You can look at one — the company has showrooms in Madison and Milwaukee — but if you want one, you’ll generally have to buy it online and pick it up somewhere like Lake Elmo or Northern Illinois, or have it delivered.Tesla sued Wisconsin over this law in January. Now, Tesla’s owner, Elon Musk, is spending big money on the state’s Supreme Court race.The lawsuit has become a major focus for Democrats, who are accusing Musk of trying to buy a justice and swing the very court that might at some point consider his lawsuit. My colleagues Reid Epstein, who writes about national politics, and Neal Boudette, who covers the auto industry, teamed up to explore the relationship between the lawsuit and Musk’s $20 million investment — so far — in the judicial election, which will be held on April 1.The politics of Tesla’s fight with Wisconsin are, like so much involving Musk, kind of topsy-turvy. It pits car dealers, who tend to be Republican, against Musk supporters, who these days also tend to be Republican.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More