Axel Automotive Brief — Welcome to Storyflo Daily Automotive. I'm Axel.

Today, we're seeing major shifts in the global automotive market. On the one hand, Canada's new trade agreement with China is opening up opportunities for Chinese-made EVs. Data from Global Affairs Canada reveals that in May, 2,910 eligible vehicles were imported into Canada at the lower tariff rate, accounting for just under 12 percent of the quota for the current six-month period, according to CarScoops. This program will allow up to 49,000 Chinese-made EVs to be imported to Canada at a reduced tariff rate. However, the early money is on Tesla being the primary beneficiary of this deal, given its existing production capacity in China and established sales channels in Canada. On the other hand, we're seeing struggles in the EV space. Lucid has been forced to recall a total of 2,039 vehicles built over 14 months due to a loss of power caused by damage to the inverter's internal connectors, according to CarScoops. This issue was first prevalent across Air models used by a fleet operator