In the morning of February 3^rd, the U.S. administration planned to implement a 25% tariff on goods imported from Canada and Mexico. The situation was and is very fluid.  

As of the afternoon of February 3rd, Trump announced that he would delay tariffs on Mexico and Canada, where they will be exempt for the next 30 days.

We want to clarify what this means for you, our customers.  

First and foremost, the fundamental structure of the export market remains largely unchanged.  

Duties and tariffs are based on country of origin, not country of export.  As a result, 95% of vehicles on the Signal platform are unaffected.  

Here's what you need to know:

No Additional Tariff

• Vehicles manufactured in the U.S. (VINs starting with 1, 4, or 5) remain exempt from the 25% tariff.

Potentially Subject to Tariffs

• Vehicles manufactured in Canada (2 VIN) or Mexico (3 VIN) could incur an additional 25% tariff on top of existing duties.

• Depending on the vehicle, the total tariff rate could be be 27.5% or 50%.

No Change

• Vehicles from Europe and Asia would remain subject to their original 2.5% duty with no additional tariff.

Operational Updates

The Signal platform will continue to be updated to reflect what is happening in the market, specifically in our appraisal tool and export calculator. This will ensure you can continue to make accurate appraisal decisions.

Market Outlook

Canadian dealers are still uniquely positioned to benefit from the export market, due to unique currency conditions.

Signal remains committed to supporting our customers’ success with our comprehensive platform and expertise.  These market shifts are creating unique opportunities and we're here to help turn these challenges into advantages.

Please reach out to our team with any questions you may have. We’re here for you, every step of the way!  

-Tane