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5 things you need to know this morning: April 2, 2026

Start your day off right with five things you need to know this morning.

Five things you need to know

1. Stellantis in talks with Chinese firm about building EVs in Canada

Stellantis is in talks with Chinese firm Zhejiang Leapmotor Technology about options for building electric vehicles in Canada, according to a report. In an article published on Wednesday, Bloomberg said "people familiar with the matter" stressed the talks "are in an early stage" but could lead to the first Chinese auto investment in Canada since Mark Carney signed an agreement with Xi Jinping to allow Chinese EVs into the Canadian market. The US has repeatedly warned Canada against working with China on autos, with Donald Trump threatening 100 per cent tariffs on all Canadians goods as a consequence. Flavio Volpe, head of Canada’s Automotive Parts Manufacturers’ Association, warned that Canadians "shouldn't settle" for a "bad deal." He added: "Chinese knockdown kits may be fine for Brazil, but they aren’t for the hundreds of Canadian auto parts suppliers who are waiting for that plant to reopen." Ontario Premier Doug Ford, meanwhile, said: “If they’re bringing kits over made in China, all that does is undermine every single auto worker we have in Ontario. I am dead against it.”


2. Ottawa should increase GST to pay for new defence budget: report

A "combination of tax increases, spending cuts, or taking on more debt is required" in Canada, according to a new report from an influential think tank. The CD Howe Institute's analysis suggests Ottawa should consider a one or two point increase to the GST and slower growth in non-defence spending as a way of paying for Canada's hugely increased military budget. The new defence spending, the think tank explained, will require "hard fiscal choices," and that without a responsible approach, federal deficits would surge to even greater levels.


3. Poilievre calls for Ottawa to cut taxes on gas

Pierre Poilievre, meanwhile, made a very different argument at a press conference in Ottawa this morning. The Tory leader said the Liberal government should scrap federal taxes on gas for the rest of the year to help families cope with rising prices at the pump. He claimed it would cut gas prices by 25 cents a litre and save a family of four an average of $1,200 for the rest of 2026. He added: "Seniors should be able to enjoy a worry-free drive to see grandkids, parents should not stress about filling the minivan for hockey practice and workers should be able to fill their trucks stress-free."


4. Eby says changes to DRIPA are 'non-negotiable'

BC Premier David Eby has insisted his government's plans to change the Declaration on the Rights of Aboriginal Peoples Act are "non-negotiable," adding: "We have to do it, and we will do it." His comments come ahead of a meeting today with First Nations chiefs to discuss the legislation, which has caused fear and anxiety in the province after two court decisions related to Aboriginal title appeared to imperil private property rights.


5. First Nations chiefs furious with Carney's dismissal of protester: 'Shame on you, prime minister'

Two First Nations chiefs have called on Mark Carney to apologize for joking about a protester who interrupted his press conference in Toronto earlier this week. One of them, Chief Sherry Ackabee, said: "Shame on you, prime minister. You're making a joke of my people." Carney said during the press conference that he would "outlast" the shouting protester, who was shouting about mercury poisoning in her community.

Thumbnail photo credit: Pierre Poilievre/X


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