07/09/26 Afternoon CommStock Report-Oh! Canada and Mexico

Part 2  It will grate on president Trump enough that most trade with Canada and Mexico is tariff-free because of the USMCA that it will just be a matter of the timing when he invokes a break-up. Trump believes his tariff policy was vindicated by the decision by Toyota to move production of its Tacoma truck and SUVs from its Baja, Mexico plant to San Antonio, Texas by 2030. Toyota is seen my many as the smartest global automaker, having navigated the EV challenge that cost many auto companies $billions from overcommitting to the EV market. Toyota trucks assembled in Mexico do not qualify for USMCA North American content so are hit with a 15% tariff, with tariffs overall costing the company $8.5 bln in the last operating year. It will cost the company $3.6 bln to move the plant to the US. Doesn’t take long to pay for that in tariff savings. The president has stated that he sees no reason why autos sold in the US should be made in Canada.   Canada Declares Independence: Canada sees the split with the US as being a whole lot more than about the USMCA. Many believe that Canadian Prime Minister…