TOKYO — On Thursday, July 16th, 2026, Japanese trading company Toyota Tsusho announced a new logistics service that ships auto parts directly from Japan to warehouses in Canada and Mexico. This initiative allows small suppliers to bypass the United States, avoiding double tariffs and significantly lowering transportation costs by up to 60%.

By cutting out the US as a transit point, Toyota Tsusho's service provides a more cost-effective route for suppliers to reach key car manufacturing centers in North America. This move is expected to benefit smaller players in the automotive supply chain by easing tariff burdens and improving supply chain efficiency.

The service was highlighted in a report by Nikkei Asia, which noted the direct shipping strategy as a key development in regional trade logistics.

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