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U.S. Imposes 25% Tariff on Imported Medium and Heavy Trucks, 10% on Buses Starting Nov. 1

Trucks built in Mexico or Canada may face duties only on non-U.S. content if they meet USMCA rules, with details to be set by the Commerce Department.

Overview

  • President Trump signed the decree on Oct. 17 following a Section 232 national-security review of truck imports.
  • Full 10% duties will apply to imported buses regardless of origin or USMCA compliance.
  • The White House extended to 2030 a 3.75% catalog-price deduction for U.S.-made vehicles with imported parts, a measure that also covers trucks.
  • About 78% of U.S. medium and heavy truck imports come from Mexico and 15% from Canada, concentrating the effects in North American supply chains.
  • Bloomberg reported that Commerce plans a five-year extension of an agreement that reduces tariffs on imported auto parts, a development not yet formally announced.