Automotive News Canada’s David Kennedy breaks down why U.S.-made vehicle sales in Canada just hit a new low. Plus, Mercedes-Benz warns two German plants could close.

Sept. 22, 2026 | Canada’s tariff hit on U.S. car sales; Mercedes warns of German plant closures

Automotive News Daily Drive

Welcome to Daily Drive for Tuesday, September 22, 2026. I'm Kellen Walker in Las Vegas. Today on the show, Mercedes-Benz workers just got some bad news about two German plants. Used car shoppers are getting a lot less car for their money these days. And Nissan's refreshed Rogue Hybrid is aiming to win back crossover buyers. Plus, our own David Kennedy breaks down why U.S.-made vehicle sales in Canada just hit a new low.

Basically, anyone who's building in the U.S. for Canada at the moment is looking at a way to shift that production elsewhere. Let's run through all the news you need to know to keep up in the auto industry. Mercedes-Benz just told German workers something nobody wanted to hear. Two plants could shut down. One builds cars, the other builds engines. Production chief Michael Schaiba says the company wants to keep every German site open,

But that depends on hitting cost targets it hasn't achieved yet. The warning comes the same day thousands of German auto workers protested layoffs industry-wide, as automakers face cheaper Chinese rivals and U.S. tariffs. 10 to 15 grand used to buy a used car under 5 years old with about 58,000 miles. Today, that same budget gets you a car nearly 9 years old with almost 100,000 miles.

That's according to Edmunds. Why? Automakers are choosing fewer, pricier models over cheap leases to boost margins. Those leases used to flood lots with low mileage trade-ins. Now, annual lease volumes have dropped from 4 million before the pandemic to a projected 2.5 million this year. And dealers are fighting over what's left.

Sept. 22, 2026 | Canada’s tariff hit on U.S. car sales; Mercedes warns of German plant closures

Read the full transcript

The candid version is on a podcast,
not the earnings call.

Sept. 22, 2026 | Canada’s tariff hit on U.S. car sales; Mercedes warns of German plant closures

Read the full transcript

The candid version is on a podcast, not the earnings call.

The candid version is on a podcast,
not the earnings call.