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    Home AMERICAS Canada

    How will a resounding U.S. political shift impact the cross-border auto industry?

    The Analyst by The Analyst
    November 5, 2026
    in Canada
    How will a resounding U.S. political shift impact the cross-border auto industry?


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    Could the Democratic blue wave in the American midterm elections lead to an easing of tariffs that are playing havoc with Canada’s auto industry?

    The cross-border trade tension has done real damage on both sides.

    Even though the Stellantis assembly plant in Windsor, Ont., has fared better than many other Canadian factories, workers there now find themselves in the midst of a four-week shutdown.

    Workers change shifts at Stellantis's Chrysler Windsor Assembly facility in Windsor, Ontario, Canada, April 4, 2025.

    Workers change shifts at Stellantis’s Chrysler Windsor Assembly facility in the southwestern Ontario city in this 2025 file photo. (Carlos Osorio/Reuters)

    Paul Lachance is employed at the plant and has been in the industry for 42 years.

    “It’s mentally challenging,” he said. “We don’t know from week to week if we’re working … but I figure it’s because of the tariffs.”

    Lachance hopes the U.S. political shift will lift the uncertainty hanging over the industry.  

    “Nobody’s doing any big spending like buying a new automobile, or buying a new home or anything like that. Everybody just [is] cautious right now to see what was happening with this election. It’s not going to happen overnight. I think it’s going to take a while.”

    WATCH | CBC Windsor gets reaction to the midterm results:

    Michiganders react to the blue wave

    CBC took to the streets of Detroit to see how people are feeling about their new senator and the performance of the Democrats in Tuesday’s midterm elections.

    John D’Agnolo is national auto council chair with Unifor, Canada’s largest union for autoworkers, and is president of Local 200, representing Ford’s two engine plants in Windsor

    “I’m quite happy with the results. [Former U.S. representative] Mike Rogers went to Donald Trump and said, ‘Listen, these tariffs are killing us in the election.’ And sure enough, you see what happened. They lost and it has to do with the tariffs.”

    Rogers, a Republican, was defeated by Democrat Abdul el-Sayed for the U.S. Senate seat in Michigan this election.

    WATCH | Michigan voters pull away from Trump over tariffs ahead of midterms:

    Michigan voters pull away from Trump over tariffs

    Trump’s trade war has had a distinct impact in Michigan, where industries and people share close ties with their Canadian neighbours. Ahead of the midterms, CBC’s David Common went to the crucial swing state to ask voters about tariffs and how they could influence their decision on election day.

    D’Agnolo said it’s proof Trump’s auto levies were negatively impacting Michigan, too. 

    “I think he has to really look at the people that are directing him and make decisions that will only help Americans. These tariffs are not helping that side of the border nor our side.

    “The anxiety is still there, but we’re hoping that things can change.”

    WATCH | Former U.S. envoy says Americans voted based on cost of living, not tariffs:

    Americans voted based on cost of living, not tariffs: former U.S. envoy

    Former U.S. ambassador David Cohen reacts to the midterm results, telling Power & Politics he couldn’t have predicted ‘this much of a wave.’ While warning that working through trade tensions and tariffs will remain ‘very hard,’ Cohen argues Canada enters this new political reality with a stronger hand than it held last summer — backed by two of the country’s best negotiators.

    Glenn Stevens Jr. heads an initiative called MichAuto with the Detroit Regional Chamber.

    He thinks everyone’s breathing a “little bit easier” with the political about-face America has made.

    “I think we have some clear definition about where our country’s going and where our state is going from a legislative representation standpoint,” Stevens Jr. said. 

    “There is very, very strong definition about where our elected officials are now. And there [will]  probably be some pressure on getting things in order, particularly on trade agreements.”

    WATCH | Detroit Chamber of Commerce reaction on midterm results:

    What the U.S. midterm results could mean for border cities

    CBC Windsor’s Acton Clarkin checks in with the Detroit Regional Chamber of Commerce to find out what the Democratic blue wave in the U.S. midterms could mean for trade and jobs on both sides of the border.

    Stevens Jr. expects unification and policy changes.

    “The auto industry is really ready and willing to work with the new administration both here and in Washington, and it’s a priority for us to make sure that we protect, retain and grow this industry with Canada,” both in the short and long term, he said.

    WATCH | Canada takes cautious approach to trade talks after Democratic wave:

    Tariff-weary Canada takes cautious approach to trade talks after Democratic wave

    While many Canadians welcomed the U.S. midterm results, Prime Minister Mark Carney and his trade team are taking a cautious approach as it remains unclear what the American political shakeup means for revived trade talks.



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