Honda Motor warns that a potential doubling of U.S. tariffs on Canadian vehicles and parts from 25% to 50% would be "catastrophic" for the entire automotive industry. American Honda Motor Co. senior vice president Jennifer Thomas stated Tuesday that this scenario could unfold if the U.S. and Canada fail to reach a new trade deal by year-end, as threatened by President Donald Trump for January 1. Thomas expressed cautious optimism for a trilateral agreement, ideally including Mexico, similar to the USMCA, which she deems integral for the U.S. industry's competitiveness. Honda is Canada's second-largest vehicle producer, though over 60% of its U.S. sales are domestically manufactured.