Passenger cars (1.5–3L gas) HS 8703.23

Motor vehicles for the transport of persons, only spark-ignition internal combustion piston engine, cylinder capacity over 1,500 up to 3,000 cc, not elsewhere specified

Where else to sell

1. Mexico 0% Tariff free CUSMA and CPTPP

Canada already sells Mexico C$269M of passenger cars (1.5–3L gas) ▼31% vs 2024.

2. China

China imports ~C$46B of passenger cars (1.5–3L gas) a year (2023), 2.5 times Canada’s total exports of this product. Canada shipped C$184M there in 2025.

3. Germany 0% Tariff free CETA

Germany imports ~C$17B of passenger cars (1.5–3L gas) a year (2023). In a different region from the markets above.

The steps

1. 1

   Check you qualify for CanExport SMEs: incorporated with a CRA number, 3 to 500 staff, $300k to $100M revenue, under $100k of your sales in the target market last year.

2. 2

   Scope a $20k to $100k entry project (trade events, marketing adaptation, buyer identification consultants). The program pays half, up to $50k. Apply at the CanExport portal. The 2026-27 intake closes August 31, 2026 at noon ET. The US-market envelope is already fully allocated; non-US applications remain open.

3. 3

   Free help: Trade Commissioner Service desks for Mexico, China and Germany. Request "qualified contacts" (curated buyer and distributor lists).

Related

• 8703.40 Hybrid cars C$6.7B to US
• 8708.29 Vehicle body parts C$6.6B to US
• 8703.24 Passenger cars (over 3L gas) C$6.5B to US
• 8703.22 Passenger cars (1–1.5L gas) C$4.8B to US
• 8704.31 Gas pickup trucks (≤5t) C$4.0B to US
• 8708.99 Vehicle parts C$3.2B to US
• 8704.22 Diesel trucks (5–20t) C$1.7B to US
• 8708.40 Gearboxes C$1.6B to US