Trump’s 25% Auto Tariff Nears as Global and Domestic Concerns Escalate

Set to take effect April 3, the tariff aims to boost U.S. manufacturing but raises fears of price hikes, layoffs, and trade tensions.

The 25% tariff on imported cars and light trucks, announced March 27, will be implemented on April 3 as part of Trump's 'America First' policy.
Trump dismissed concerns about rising car prices, stating they would drive consumers to buy American-made vehicles.
The tariffs exclude auto parts from Mexico and Canada under the USMCA agreement, though supply chain impacts remain uncertain.
Germany's automotive industry braces for significant financial losses, while Japan, South Korea, and China enhance economic collaboration in response.
Trump also proposed a tax deduction for auto loan interest, applicable only to vehicles manufactured in the U.S., to further incentivize domestic production.