President Trump Announces 25% Tariffs on Vehicle and Car Parts Imports

U.S. President Donald Trump has introduced a 25% tariff on imported vehicles and car parts, a move that escalates ongoing global trade tensions.

The tariffs, aimed at boosting domestic car manufacturing, are set to take effect on April 2, with duties on car parts postponed until May or later.

Trump defended the decision as a strategy to stimulate growth in the U.S. automotive sector, promising job creation and increased investment. However, analysts warn of potential disruptions to supply chains, halted production, and increased vehicle costs, with estimates suggesting an additional $4,000 to $10,000 per vehicle.

The U.S. imported approximately eight million vehicles last year, contributing $240 billion to trade. Mexico, South Korea, Japan, Canada, and Germany are among the nations most affected by the tariffs, which threaten to destabilize global automotive supply chains. Despite criticism, Trump remains firm, stating, “This is permanent.”