Automakers warn that Trump tariffs will hike some vehicle prices by as much as 25%

Automotive and Transportation Automotive and Transportation

Tue, March 4, 2025

[ Tue, Mar 04th ] - MSN

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Automakers warn that Trump tariffs will hike some vehicle prices by as much as 25%

^{Published on 2025-03-04 13:41:34 - Reuters}

A trade group representing nearly all major automakers warned on Tuesday that new 25% tariffs on imports from Canada and Mexico imposed by President Donald Trump will lead to drastic price hikes.

The article from Reuters discusses how major automakers like Stellantis, Ford, and General Motors have warned that former President Donald Trump's proposed tariffs on imported vehicles could increase some vehicle prices by as much as 25%. These tariffs, which Trump has suggested could be as high as 100% on cars from China and 50% on vehicles from Mexico, aim to protect U.S. manufacturing but could significantly raise costs for consumers. The Alliance for Automotive Innovation, representing these companies, highlighted that such tariffs would not only affect foreign brands but also American manufacturers due to the integrated nature of global automotive supply chains. The group emphasized that these price hikes would come at a time when consumers are already facing high vehicle costs due to inflation and other economic pressures. Additionally, the article notes that while Trump's policies aim to boost domestic production, they could lead to retaliatory measures from trade partners, potentially harming U.S. exports and the broader economy.

Read the Full Reuters Article at:
[ https://www.reuters.com/business/autos-transportation/automakers-warn-that-trump-tariffs-will-hike-some-vehicle-prices-by-much-25-2025-03-04/ ]

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