Are US -making US -made car tariffs in Trump? | Business and Economics News

US President Donald Trump and his allies provided a solution to avoid high prices due Car tariffAn American purchase.

On March 29, Trump told Trump NBC News that he “could not care less” if foreign cars manufacturers raised prices in response to definitions. “I hope they will raise their prices because if they do so, they will buy US -made cars,” Trump said. “We have a lot.”

Management 25 percent tariffs On April 3, imported cars are on April 3, an additional tariff is scheduled for parts of imported cars on May 3.

Definitions are a tax on imported goods paid by companies. Its costs are often transferred to consumers through high prices.

“If you are worried, you will cost cars more, and buy America,” Jesse Watters, Fox News host, made a similar statement to Trump on April 3. Watters cited a section of the promotion of the Ford Motor Co to give customers temporarily the price of the employee on cars.

Bernie Moreno, a member of the Republican Senate from Ohio, who owns many car dealers before taking office, repeated Trump in an interview with CNN on April 2.

“The only one that is hurt is the cars that are made abroad, exclusively, and are shipped to the United States. Very super cars,” Mourino said.

However, this contradicts an analysis by COX Automotive, a research company, which has found that “the 25 percent tariff for imported vehicles will be applied to approximately 80 percent of vehicles less than $ 30,000.” The analysis was martyred for models such as Honda Civic, Toyota Corolla, Chivi Trex, Blids, Nissan Centra and Honda HR-V.

Senator Moreno added that among the “prevailing cars-Honda, Toyota, Subaru, Ford, Chevy-if one car rises, because there is a tariff, this person will only buy the other car that does not contain a tariff, which is an American-made car.”

a lot Car experts He said it is not easy to avoid increasing prices by buying American cars, because those collected in the United States use imported parts as well.

“The concept of an American -made car with all parts of the United States is a fictional story,” said Daniel Evz, a great stock analyst at Wedbush Securities. “They will naked these parts.”

Car companies depend on imported parts in varying degrees. For example, Tesla Model Y 70 percent of the value of its parts in the United States or Canada has. Ford F-150, is 45 percent.

The Trump administration said that by raising revenues through definitions, and others Federal taxes It can be cut. But economists said that high definitions are unlikely to generate sufficient revenues to make meaningful tax discounts for typical Americans.

In response to a political email asking about Moreno’s statement about the United States’s cars, a spokesman for Senator attacked the publication and did not provide any answers to their questions about cars and definitions. When calling it, the White House said that some of the car parts are exempt from the definitions.

Many American car manufacturers use imported parts

Moreno said that the United States’s cars get parts of Mexico Canada will be “completely free of customs tariffs” if it corresponds to The United States and Mexico-Conada Agreement The Trump administration negotiated in 2018.

But many of the car parts used in the United States come from countries other than Mexico and Canada.

Jason Miller, professor of supply chain management at Michigan State University, examined car tariff data and told Politifact that it had shown that Mexico “is clear that the list” for auto parts imported to the United States. China It is the second (due to the Li -Ion batteries), Japan is the fourth, and South Korea is the fifth and Germany in sixth.

The other Miller told Trump Steel and aluminum definitions It means that even if the car is collected by 100 percent of the local components only, the costs will continue to rise because steel and aluminum prices increase in the United States.

“They are not exaggerating to simplify things, they are lying explicitly,” said Miller of people who say that shoppers can buy all the US -made cars. Also, not all the automatic parts of Mexico are compatible with the United States and Cna agreement, so those are also targeted.

“All vehicles use some percentage of foreign parts-there is no compound model that uses the 100 percent parts that were manufactured,” said Amy R Progelin Peterson, Michigan State University expert in the management of the supply chain.

The Wall Street Journal reported on April 4 that, at first glance, Ford is best placed in the weather tariff because 80 percent of its cars, pickup trucks and SUVs sold in the United States are manufactured locally, as well as many parts.

Many F-150S Ford components, such as generators and wheels, come from Other countries It begins in May, these parts may face a new tax by 25 percent. “Although Ford trucks are built in Hartland, USA, the import tariff can raise the average price by thousands of dollars.”

The National Road Traffic Safety Administration (NHTSA) publishes data on American and Canadian content with the value of the parts used to assemble passenger cars in the United States and foreign countries. The data shows that some of the Toyota -created lines in the United States, such as Corolla, include the value of at least 25 percent of the parts imported from Japan.

A Toyota spokesman said 47 percent of the company sold in the United States in 2024 was built in the United States.

Usa Today analyzed NHTSA data for multiple car manufacturers devices and found that “for all the collected and available models for sale in the United States, 47 percent of the parts (value) that originated from the United States or Canada.”

A COX Automotive spokesman said that the regular US vehicle has about 50 percent of its parts or components depending on the imported value.

Car prices may rise due to Trump’s tariff

The long -term effect of definitions on the hard -to -predict car industry. COX Automotive expected strong sales to decrease the pre -fire stock.

“But all roads lead to this fact: in the coming months and years, where new definitions stabilize in place, it is expected that the prices of vehicles in the United States will increase,” Cox wrote in a report on April 4 in the market.

Cox expected that the vehicles affected by this customs tariff may witness an increase in prices by 10 percent to 15 percent, and an increase of at least 5 percent for vehicles that are not subject to complete tariff.

“Production disturbances and declines can be a reality this summer, especially since car manufacturers and suppliers are working to fit practices with new rules,” Cox wrote.

With the high price of manufactured cars in foreign countries, the producers of American models competing with a fewer imported parts will raise their prices, not in dollars in dollars, but perhaps 40 cents per dollar, Gary Hoffour, a great colleague at the Peterson International Economy Institute.

“The American car manufacturer hurts me, and they will raise prices where they can,” Hofbauer said.

Louis Jacobson contributed to this article.