Donald Trump imposes 25% tariffs on cars manufactured outside the US.

US President Donald Trump has announced the imposition of a 25% tariff on all cars and light trucks manufactured outside the country.The measure, which will take effect on April 2, aims to boost domestic production and reduce the US trade deficit. Trump, from the Oval Office, called this day "Liberation Day."

According to the president, the decision seeks to strengthen the local automotive industry and promote employment in the country. "If you make your car in the United States, there will be no tariffs," Trump declared during his speech. However, various experts warn that the Consumers will be the most affected, since the increase in costs for importing companies will inevitably be passed on to vehicle prices. In addition, Trump's new tariffs have also begun to generate a domino effect in other regions.

The impact on the global automotive industry…

The measure will hit hard foreign manufacturers already American companies with plants abroad. Mexico, Canada, Japan, South Korea and Germany They are among the main automobile exporters to the United States. Mexico, in particular, exports nearly 80% of its vehicles to the U.S. market, making the country the most vulnerable partner in the face of this decision. The European Union is also closely watching how these tariffs could affect the global auto industry.

In addition, some American brands such as General Motors and Ford They have factories in Mexico and Canada, where they produce vehicles that they then import into their own country. Manufacturers that rely on imported components could also face problems., as many auto parts cross borders at various stages of assembly before reaching American stores. This makes the situation complex, especially considering that Honda is also moving some of its production to the U.S. to avoid tariffs.

Economic consequences and international reactions…

The announcement has provoked immediate reactions in the financial markets. Shares of General Motors, Ford, and Stellantis have fallen between 4% and 7% in after-hours trading.Analysts warn that increased costs resulting from tariffs could result in a price increases of up to $10.000 per vehicle, depending on the model and country of origin. The British car industry is also concerned about the impact this could have on its exports.

From Europe, the President of the European Commission, Ursula von der Leyen, expressed its rejection of the measure and left open the possibility of taking trade retaliation against the United States. "Tariffs are taxes: they hurt businesses and, even more so, consumers.", he said. This could trigger a series of economic reactions affecting both parties.

For his part, the Prime Minister of Canada, Mark Carney, described the decision as "a direct attack on the Canadian economy" and announced that his government is evaluating appropriate responses. In Mexico, various business associations have warned that these tariffs will seriously affect the automotive sector, one of the country's economic pillars. Trump's threats have put the automotive economy in several nations in check.

A possible escalation in the trade war…

The 25% tariff is part of a broader strategy by Trump, who has made it clear that he plans to apply reciprocal tariffs to any country that imposes restrictions on U.S. products. Washington is seeking to pressure its trading partners to eliminate barriers that, according to the White House, harm "Made in the USA" products. In this context, the tension between the US, the EU and Japan could intensify.

However, this policy could also trigger retaliation from other countries. The EU and Canada have indicated they will wait to know the full scope of the measures before taking action, although there is speculation that Brussels could implement its own package of tariffs against US goods in the coming months.

What will happen to car components?

One of the points that generates the most uncertainty is the treatment that the imported automobile parts and components. Currently, many parts cross borders several times before being assembled into a finished vehicle.In some cases, a piston or transmission can travel up to six times between the United States, Mexico, and Canada before reaching the final product. This makes the situation even more complicated for manufacturers like Leapmotor, who are looking to establish themselves in more competitive markets.

According to the order signed by Trump, the 25% tariffs will be applied directly to finished vehicles, but it is anticipated that they could also be extended to key components such as engines, transmissions and propulsion systems. However, Auto parts that meet USMCA requirements could receive temporary exemptions. until the Department of Commerce implements a specific system to tax them. In this regard, car manufacturing at Fiat's Mirafiori plants could be affected.

Direct impact on all consumers…

One of the most palpable effects of the measure will be the price increases at dealerships. American consumers could see higher prices on imported cars as well as those produced locally., due to the increased cost of supply chains. This situation is expected to have an adverse effect on demand, which could limit options for buyers of electric vehicles, such as those that could be manufactured in Europe by Dacia.

According to automotive industry estimates, The price of a car could increase by between $3.500 and $12.000, depending on the model and the level of dependence on foreign parts. This will affect millions of American families looking to purchase a vehicle, limiting their choice and making even low-cost models more expensive. In this context, Dacia has confirmed a budget electric car which could be of interest to consumers.

In addition, some brands may be forced to reduce their offering of imported models, leaving consumers with fewer options on the market. In the case of certain manufacturers, Moving production to the United States is not an immediate option, as building new assembly plants requires a considerable investment and a multi-year adaptation process. This situation can be critical for certain brands that lack the appropriate infrastructure in the U.S.

An uncertain future for the automotive industry…

With the entry into force of these tariffs and the possibility of retaliation by other countries, The automotive industry faces one of the biggest challenges in recent yearsIf trade tensions continue to escalate, production costs and the final price of vehicles may continue to rise, affecting both manufacturers and consumers. In this context, the future of brands like Tesla faces challenges, especially in a rapidly changing European market.

The world is closely watching the reactions of US trading partners and the market's response to this measure. Trump's decision undoubtedly marks a new chapter in US protectionist policies, with consequences that could extend far beyond the automotive sector.