Donald Trump takes action to protect the U.S. auto industry with high import tariffs of 25%
The tariff, which will come into effect on April 2, will affect almost half of all vehicles sold in the United States, including US brands gathering overseas.
In a major policy announcement from the Oval Office, President Donald Trump announced that all imported vehicles entering the United States impose a 25% tariff on all imported vehicles, a move called domestic manufacturing “very exciting.”
The tariff, which will come into effect on April 2, will affect almost half of all vehicles sold in the United States, including US brands gathering overseas. The broad range of measures aims to inspire automakers to build more production facilities within the U.S. borders.
Industry experts warn that tariffs could have far-reaching consequences. Autos Drive America, a representative organization of international automakers operating in the United States, expressed serious concerns about the potential impact.
“Tariffs will make automobile production more expensive, which could lead to higher prices for consumers, fewer consumer choices and potential job market disruptions,” the group said.
The announcement could escalate trade tensions with major automaker countries including European countries, Japan and South Korea. These countries export large quantities of vehicles to the United States and may see tariffs as a direct challenge to their automotive industry. Economists predict that tariffs could raise vehicle prices by thousands of dollars, adding pressure to consumers struggling with already ongoing inflation.
The move represents a dramatic intervention in the automotive market that could reshape global auto manufacturing strategies. President Trump remains bullish on the policy, noting: “Anyone who has plants in the United States will benefit.”
Other manufacturers, including India, are preparing for the bigger change as the automotive industry and global markets absorb this significant policy change. Earlier, U.S. President Donald Trump targeted India’s automatic import tariffs in his speech to Congress, saying: “India charges the United States more than 100% automatic tariffs” and vowed to take effect on April 2.
He said nearly every country has deprived the United States of America for decades and vowed not to “let this happen again.”
(This story has not been edited by DNA staff and published from ANI)
