In the most recent escalation of Trump’s trade war, the President has imposed a 25% tariff on all foreign-made vehicles entering the U.S. Non-U.S.-made auto parts will also be subject to the 25% tariff.
The White House forecasts that annual revenue from the tariffs will reach at least $100 billion.
“This will continue to spur growth that you’ve never seen before,” Trump announced while signing the executive order from the White House on Wednesday.
Wednesday’s White House statement read: “President Donald J. Trump signed a proclamation invoking Section 232 of the Trade Expansion Act of 1962 to impose a 25% tariff on imports of automobiles and certain automobile parts, addressing a critical threat to U.S. national security.”
The 25% tariff will apply to imported passenger vehicles, light trucks, and auto parts.
Importers under the United States-Mexico-Canada Agreement will be “given the opportunity to certify their U.S. content and systems will be implemented such that the 25% tariff will only apply to the value of their non-U.S. content,” the White House stated.
The 25% auto tariffs will take effect on April 2nd.
By CEO NA Editorial Staff
