Reasons Behind the Accumulation of This Hyundai Truck Near the Border Without Access | Carscoops
A political impasse has placed Hyundai's Canadian pickup initiative in a state of uncertainty, with declining sales and trucks remaining idle near the border.
Hyundai Santa Cruz sales in Canada have plummeted due to ongoing trade-related delays.
New tariffs implemented under Trump have created a cross-border standoff that affects Hyundai’s supply in Canada.
Santa Cruz models intended for Canada are being shipped north but are currently stuck just south of the border.
Acquiring a new Hyundai Santa Cruz in Canada may take longer than anticipated, and this delay is not due to local demand or supply chain issues. Instead, the holdup is a result of a political standoff, leaving a shipment of trucks bound for Canada stuck just south of the border because of tariff issues stemming from US President Donald Trump's trade policies.
The Santa Cruz is manufactured solely at Hyundai's facility in Montgomery, Alabama. While it doesn’t significantly impact the Canadian market, 2,574 units were sold there in 2024. However, sales have dipped this year, and Hyundai has not yet decided on the fate of the vehicles waiting near the US border.
Tariff Issues
Following President Trump’s imposition of a 25 percent global tariff on auto imports in early April, Canada retaliated with its own 25 percent tariffs. According to Hyundai Canada CEO Steve Flamand, the automaker "had already committed to production" of Santa Cruz models destined for Canada, leading to the production of several vehicles that are currently being held.
Flamand did not specify how many vehicles are awaiting delivery south of the border but mentioned that Hyundai still has some stock available in the United States. Sales have significantly decreased in Canada during June, with only 38 units sold locally, and overall sales have fallen by 6.8 percent, with the Korean manufacturer moving just 1,460 trucks in the first seven months of the year.
“We’ll make a decision shortly and we’re not going to have dealers and customers waiting for vehicles,” Flamand stated.
Hyundai updated the Santa Cruz for the 2025 model year around a year ago. The truck now features a more robust design and an upgraded interior that includes a new optional curved display with a 12.3-inch digital gauge cluster and a 12.3-inch infotainment screen, along with standard wireless Android Auto and Apple CarPlay, and a fingerprint scanner.
In the US market, the Santa Cruz offers a 2.5-liter naturally aspirated four-cylinder and a 2.5-liter turbo four engine, but in Canada, only the turbo engine is available for sale.
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Reasons Behind the Accumulation of This Hyundai Truck Near the Border Without Access | Carscoops
A political impasse has put Hyundai's Canadian pickup project in a state of uncertainty, as sales decline and trucks remain unused near the border.