US-Built Volvo EX90 Exits Canadian Market After Just One Year
Tariffs claim another victim, this time Volvo's latest flagship SUV.
After just one year on the market, the American-built Volvo EX90 is disappearing from the Canadian market. Per Automotive News, the all-electric SUV is the target of Canadian counter-tariffs on US-built vehicles that do not comply with USMCA (CUSMA). These tariffs were introduced in April as a direct response to America's existing tariffs on Canadian goods.
The EX90 is currently built at a factory outside Charleston, South Carolina. It shares space with the Polestar 3, the two-row electric SUV that sits on the same platform. So far, there has been no announcement from Polestar about a similar retreat from the Canadian market. The brand has already stopped importing the Polestar 2 into both countries on account of 100-percent tariffs on China-built EVs.
Volvo will expand the Charleston location's production with the introduction of the XC60 next year.
We liked the EX90 well enough on our first drive and full review, praising its smooth and comfortable ride, but finding plenty of tech issues. The '26 model will be getting a new, more powerful core computer and a move to 800-volt architecture for better charging and more performance.
This is the latest development in the ongoing era of tariffs, which has been creating significant differences between the Canadian and American markets over the last year. Some models meant to arrive in both markets have now rolled out in only one, while other models are pruned from one or the other. Aren't trade wars fun?
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Kyle began his automotive obsession before he even started school, courtesy of a remote control Porsche and various LEGO sets. He later studied advertising and graphic design at Humber College, which led him to writing about cars (both real and digital). He is now a proud member of the Automobile Journalists Association of Canada (AJAC), where he was the Journalist of the Year runner-up for 2021.
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Far as I know Carney removed any and all counter tariffs months ago. The Volvo just doesn't do well in the cold.