Overview

• Trump warned on June 12 that he may raise the existing 25% duties on imported cars and auto parts after a White House appearance.
• Tariffs on finished vehicles began in early April, with additional levies on auto components taking effect in early May.
• Manufacturers that complete vehicle assembly in the US qualify for partial refunds on import duties for their parts.
• Industry representatives caution that the higher tariffs could push up consumer prices and strain global supply chains.
• The president frequently leverages tariff threats to extract trade concessions and spur domestic factory investments.