President Trump’s trade war again tests Canada’s new government. Honda is also postponing a major electric vehicle factory in Canada.

Honda Motor Co. Ltd. says it is altering its manufacturing strategy so that its Alliston, Ont., plant will now produce its popular CR-V compact crossover for export to countries beyond the United States.

Honda is moving some of its CR-V production out of the U.S. , but the decision actually saves jobs. Instead of initiating layoffs, Honda will shift production of export-bound CR-Vs into Canada, but in return,