Trump's Tariff Plans Threaten North American Trade and Auto Industry

President Trump moves forward with sweeping tariffs on Canada and Mexico, risking trade disruptions and economic fallout.

President Trump plans to impose 25% tariffs on imports from Canada and Mexico starting March 4, citing border security and trade grievances.
The tariffs could disrupt North American auto supply chains, increase car prices by up to $10,000 for some models, and threaten the industry’s shift to electric vehicles.
Canada and Mexico have threatened retaliatory tariffs, potentially escalating the situation into a full-blown trade war with widespread economic consequences.
Additional tariffs on steel and aluminum imports, set to take effect on March 12, could further raise manufacturing costs and harm industries reliant on these materials.
Analysts suggest the tariffs may be a strategy to gain leverage for renegotiating the US-Mexico-Canada Agreement (USMCA) ahead of its upcoming review.