{"id":5578,"date":"2025-03-26T22:37:30","date_gmt":"2025-03-26T22:37:30","guid":{"rendered":"https:\/\/firearmman.com\/?p=5578"},"modified":"2025-03-26T22:37:32","modified_gmt":"2025-03-26T22:37:32","slug":"trump-announces-25-tariffs-on-imported-cars-ratcheting-up-global-trade-war","status":"publish","type":"post","link":"https:\/\/firearmman.com\/?p=5578","title":{"rendered":"Trump announces 25% tariffs on imported cars, ratcheting up global trade war"},"content":{"rendered":"
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President Donald Trump announced on Wednesday plans to slap 25% tariffs<\/a> on all imported cars, escalating a global trade war just weeks after previous tariffs touched off a market rout and triggered concern about a possible recession<\/a>.<\/p>\n

“I think our automobile industry will flourish like it hasn’t before,” Trump said.<\/p>\n

The auto tariffs are set to target a sector that employs more than a million U.S. workers and relies on a supply chain closely intertwined with Mexico and Canada. Tariffs placed on the auto industry risk raising car prices for U.S. consumers, experts previously told ABC News<\/a>.<\/p>\n

Trump announced tariffs earlier this month on a large share of U.S. auto imports when he slapped<\/a> 25% duties on Mexico and Canada, but the president soon afterward issued a delay of auto-related duties associated with that policy.<\/p>\n

White House press secretary Karoline Leavitt previewed the fresh auto tariffs in remarks on Wednesday afternoon, sending U.S. stocks lower.<\/p>\n

The Dow Jones Industrial Average closed down 130 points, or 0.3%, while the S&P 500 dropped 1.1%. The tech-heavy Nasdaq declined 2%.<\/p>\n

Shares of U.S. automakers also fell. Tesla, the electric carmaker led by Trump-advisor Elon Musk, closed down 5.5%. Shares of General Motors dropped 3%.<\/p>\n

Mexico and Canada make up the top two U.S. trading partners for both finished motor vehicles and car parts, according to a Cato Institute analysis of data from the U.S. International Trade Commission.<\/p>\n

In 2023, Canada and Mexico accounted for nearly $120 billion worth of U.S. motor vehicle imports, which totaled about 47% of all such vehicles imported that year. Canada and Mexico made up nearly the same share of auto parts imports that year, the Cato Institute analysis showed.<\/p>\n

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White House Press Secretary Karoline Leavitt speaks during the daily briefing in the Brady Briefing Room of the White House in Washington, Mar. 26, 2025.<\/span><\/span><\/span><\/p>\n

Carlos Barria\/Reuters<\/span><\/p>\n<\/div>\n<\/figcaption><\/figure>\n<\/div>\n<\/div>\n<\/div>\n

The announcement of auto tariffs arrives days before Trump is set to issue<\/a> a new round of duties on April 2. Trump has repeatedly referred to that date as “liberation day,” saying a wide-ranging slate of reciprocal tariffs would rebalance U.S. trade relationships.<\/p>\n

Speaking at the White House on Monday, Trump softened his posture, saying the reciprocal tariffs could fall short of the rate that target countries impose on U.S. goods.<\/p>\n

“I may give a lot of countries breaks,” Trump told reporters in the Oval Office. “I’m embarrassed to charge them what they’ve charged us.”<\/p>\n

The auto tariffs follow a flurry of duties imposed earlier this month. Trump slapped tariffs on China in early March, raising taxes on goods from that country to 20%. Days later, Trump imposed sweeping tariffs on all aluminum and steel imports.<\/p>\n

The moves prompted retaliatory tariffs from China, the European Union and Canada, setting off a trade war that roiled the stock market and prompted warnings from Wall Street of a potential recession.<\/p>\n

Economists widely expect tariffs to raise prices for consumers, since importers typically pass along a share of the tax burden to shoppers.<\/p>\n

Speaking at a press conference in Washington, D.C., last Wednesday, Fed Chair Jerome Powell faulted<\/a> tariffs for a “good part” of recent inflation.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

President Donald Trump announced on Wednesday plans to slap 25% tariffs on all imported cars, escalating a global trade war just weeks after previous tariffs touched off a market rout and triggered concern about a possible recession. “I think our automobile industry will flourish like it hasn’t before,” Trump said. The auto tariffs are set […]<\/p>\n","protected":false},"author":1,"featured_media":5579,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-5578","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-us-news"],"_links":{"self":[{"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/posts\/5578","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/firearmman.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5578"}],"version-history":[{"count":1,"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/posts\/5578\/revisions"}],"predecessor-version":[{"id":5580,"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/posts\/5578\/revisions\/5580"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/firearmman.com\/index.php?rest_route=\/wp\/v2\/media\/5579"}],"wp:attachment":[{"href":"https:\/\/firearmman.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5578"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/firearmman.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5578"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/firearmman.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5578"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}