It's not just the US that imposes tariffs on new cars. It's happening in Canada too. And now Mazda is pulling exports of the CX-50 model.
Mazda is stopping the portion of CX-50 production that will move from its Huntsville, Alabama, factory to Canada.
Customs regulations create uncertainty for the popular SUV, which sold over 10,000 units last year.
Mazda has announced that it is halting some of its U.S. car production. This applies to CX-50 models destined for Canada. Production will stop at its Huntsville, Alabama, plant.
The reason is US tariffs. Added to this are Canadian countermeasures. These are after-effects of previous US trade policy under the Trump administration.
The consequences are now directly affecting supply chains, forcing Mazda to pull the handbrake on all production.
This is reported by Auto News .
The assembly lines will stop on May 12th of this year. Mazda has not stated how long it intends to suspend production.
In 2023, 10,759 CX-50s were sold in Canada. All of those cars came from the Alabama factory.
Mazda CX-50 Production at the Huntsville Plant
The compact crossover CX-50 accounted for about 15 percent of Mazda's total Canadian sales last year, demonstrating the model's importance to the brand in Canada.
The Huntsville plant is operated jointly with Toyota and produces the CX-50 for North American markets.
Sandra Lemaitre, a spokesperson for Mazda Canada, said dealers are continuing to sell remaining inventory while supplies last.
“Mazda Canada currently has a limited inventory of the CX-50. There are also cars on the way. Our dealers will continue to sell them,” Lamaitre told Auto News.
There is no information on how long the stock will last, creating uncertainty for Canadian buyers and retailers.
Tariffs and consequences for Mazda in Canada
The absence of the CX-50 leaves a gap in the model lineup. It's between the older CX-5 and the larger CX-70. This applies to Mazda's model lineup specifically in Canada.
Last year, 88,336 CX-50s were built in Alabama. The vast majority of those cars were sold in the U.S. A special version is also built in Nanjing for the Chinese market.
Mazda expresses hope for a solution. They emphasize the importance of fair trade. This applies globally and in North America.
Mazda states: “Maintaining fair trade and economic stability globally, and within the North American market, is extremely important, and we hope that the trade situation will be resolved quickly.”
If the tariffs continue, Mazda faces a difficult choice. They could choose to raise the price of the CX-50 in Canada to cover the costs. They could also be forced to withdraw the model from the Canadian market altogether.
For now, Canadian buyers interested in a CX-50 will have to act fast. Current inventory at dealers is all that will be available for the foreseeable future.
Mazda is known for several popular models besides the CX-50. At Boosted.dk you can read more about other Mazda cars. We have tested the electric MX-30 and taken a closer look at the large plug-in hybrid CX-60.