New auto tariffs announced by Donald Trump

In an effort to increase manufacturing employment in the United States, US President Donald Trump announced on Wednesday that he would be enacting a 25 percent tariff on auto imports. This move paves the way for a more extensive drive on levies the following week.

In an effort to increase manufacturing employment in the United States, US President Donald Trump announced on Wednesday that he would be enacting a 25 percent tariff on auto imports. This move paves the way for a more extensive drive on levies the following week.

Significant taxes on imported vehicles, trucks, and auto parts were announced by the Trump administration. These imports will be subject to a 25% tariff: Cars for passengers, such as light trucks, minivans, crossovers, SUVs, and sedans

Important auto parts, include electrical components, powertrain elements, engines, and gearboxes

According to the order, car importers covered by the US-Mexico-Canada Agreement will have the chance to certify their US content, and procedures will be put in place so that the 25% tax only applies to the value of their non-US content.

Until the Secretary of Commerce, after consulting with U.S. Customs and Border Protection (CBP), develops a procedure to impose duties on their non-U.S. content, USMCA-compliant car parts will continue to be free of tariffs. "We will have strict enforcement and parts that are manufactured in America but not in a car won't be subject to taxes or tariffs. It's just one figure, and that figure will be utilized to create things and drastically cut the US debt," Trump clarified.