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Trump makes his case for hiking automotive tariffs

Trump repeated multiple times during an interview that American car manufacturers will benefit from the move, as will any foreign car makers which move their operations to the United States.

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Trump administration officials have relied on tariffs as leverage in negotiations with foreign countries and voiced interest in using tariffs to replace revenue generated by income taxes. File Image.

President Donald Trump defended his decision to impose 25% tariffs on foreign automobiles and car components, pointing toward a need to improve domestic manufacturing capabilities.

 

Trump issued an order last week increasing tariffs on “imports of automobiles and certain automobile parts,” an action that a fact sheet from the White House said was taken to “protect America’s automobile industry, which is vital to national security and has been undermined by excessive imports threatening America’s domestic industrial base and supply chains.”

 

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