Canada's automotive parts giant shows goodwill toward Chinese automakers, "hoping to grow together with them"
Source: Global Times
[Special correspondent Wang Yi] According to a report by the U.S. Detroit News on the 9th, when asked whether Magna International, Canada's leading auto parts company, would consider assembling Chinese electric vehicles (EVs) domestically in Canada, CEO Kothari said that if the cooperation were "truly long-term," the company remains open to collaboration with any automaker on assembly projects.
Magna operates globally and has been deeply engaged in the Chinese market for nearly two decades, with its business in China valued at approximately $5.5 billion. Kothari stated that as Chinese automakers accelerate their expansion into overseas markets such as Latin America, Europe, and Australia, Magna hopes to seize this opportunity to grow alongside them. He noted: "They understand us; we have already produced for them in China, and we are familiar with their technical systems—this will be our core advantage in providing services globally."
Kothari admitted that Magna’s performance in China exceeds the company’s overall average, adding: "We believe we can offer valuable support and serve as a key local partner."
Building on years of established collaboration, Magna secured an EV contract from a Chinese brand in September 2025, under which it will assemble two models at its Graz plant in Austria. Regarding this development, Kothari revealed that the company views European manufacturing partnerships as a catalyst for further growth across its other business segments.
The report analyzes that due to American automakers shifting production back to the U.S. to avoid tariff costs, Canadian auto parts firms are intensifying their cooperation with Chinese automakers. In January this year, Canada and China reached an agreement allowing up to 49,000 Chinese-made EVs annually to enter the Canadian market at a 6.1% tariff rate—ending the previous high tariff rate of 106.1% that had persisted since 2024. This quota will gradually increase over the next five years.
Additionally, according to reporting by CNBC, interest among Canadian dealerships in importing Chinese EV brands continues to rise, with nearly 400 Canadian dealers having already inquired about representing Chinese automakers.
Original source: toutiao.com/article/1867652036235271/
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