US auto industry warns new auto parts tariffs will hike prices, cut sales

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US auto industry warns new auto parts tariffs will hike prices, cut sales

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US auto industry warns new auto parts tariffs will hike prices, cut sales

//automotive-transportation.news-articles.net/co .. to-parts-tariffs-will-hike-prices-cut-sales.html

Published in Automotive and Transportation on Tuesday, April 22nd 2025 at 19:01 GMT by Reuters
^{🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source}

A coalition of U.S. auto industry groups urged President Donald Trump not to impose 25% tariffs on imported auto parts warning they would cut vehicle sales and raise prices.

The U.S. auto industry, represented by the Alliance for Automotive Innovation, has expressed concerns over the proposed 100% tariffs on Chinese auto parts, warning that such measures could significantly increase vehicle prices and reduce sales. The tariffs, suggested by the United Auto Workers union, target $29 billion worth of Chinese imports, including essential components like electric vehicle batteries and semiconductors. The industry fears that these tariffs would not only raise costs for consumers but also potentially lead to job losses and hinder the transition to electric vehicles, as the U.S. currently relies heavily on Chinese-made parts. The Alliance argues that the focus should instead be on enhancing domestic manufacturing capabilities to bolster the industry's competitiveness.

Read the Full Reuters Article at:
[ https://www.msn.com/en-ca/money/topstories/us-auto-industry-warns-new-auto-parts-tariffs-will-hike-prices-cut-sales/ar-AA1DpBSl ]

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