Trump Imposes 25% Tariff on Imported Cars

Reuters
Reuters

U.S. President Donald Trump has announced a 25% tariff on imported cars, aiming to revive U.S. auto manufacturing and add jobs, despite uncertainty over its cross-border impact.

U.S. President Donald Trump has announced new trade tariffs of 25% on cars imported into the United States.

The latest tariffs will take effect on April 2, with collections beginning the following day. These levies will be applied in addition to existing duties on imported goods.

Cars manufactured within the United States will not be subject to the new tariffs.

Trump claimed the measure would result in “tremendous growth” for the auto industry, saying it would boost jobs and attract investment.

Many American car companies operate in Mexico and Canada under the terms of a longstanding free trade agreement among the three countries. It remains unclear how the tariffs will affect cross-border shipments of car parts to manufacturing plants.

Since returning to office in January, Trump has introduced new tariffs on imports from key U.S. trading partners, including Canada, Mexico, and China—along with a 25% duty on steel and aluminum.

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