President Donald Trump on Wednesday said he would delay by a month new tariffs covering Canadian and Mexican auto imports. But even with that delay, the industry is waiting to see if Trump will next move to target additional trade partners. Trump has already hinted that European automakers could be next in his sights. More from Headlight.News.
Little more than a day after announcing plans to enact 25% tariffs on goods imported from the Mexico and Canada, Pres. Donald Trump threw a temporary lifeline to the auto industry by granting a one-month reprieve on automotive parts and vehicles. But the threat remains that sanctions could still follow if the U.S. can’t reach resolution with its two neighbors and leading trade partners – something Ford CEO Jim Farley warned “would blow a hole in the U.S. industry.”
President Donald Trump, as expected, launched new tariffs targeting Canada and Mexico while also increasing prior tariffs on China. All three countries responded with their own trade sanctions. The tariff war will increase prices on everything from avocados to semiconductors but economists warn few consumer goods will feel the heat more than automobiles – some models set to see price hikes of $12,000 or more. At a time when sticker shock is already impacting sales, analysts fear the U.S. auto industry could see sales and profits tumble – while job cuts also could be in the offing.
Volkswagen released a pair of sketches showing off a new concept dubbed the ID.EVERY.1. They reveal the direction the German automaker plans to take when it launches a new, entry-level battery-electric vehicle in 2027. But what else have we learned about the show car and ID.1 production model to follow? Headlight.News has more.
Automakers and auto buyers could face new import tariffs, based on comments made by Pres. Donald Trump. Such a move would drive up costs not only for foreign-made vehicles but likely also will impact many of those assembled in the U.S. as most of those rely on imported parts and components. With the average transaction price for new vehicles already near record levels, analysts warn, many buyers could be priced out of the market. And, with some trade partners already warning they would strike back with new tariffs of their own, U.S. auto exports may also take a big hit.
Despite efforts by automakers to improve their relationships with President Donald Trump prior to and immediately after he took office last month, they can’t seem to escape the impact of his trade policies, the latest being a 25% tariff on steel and aluminum imports into the U.S. Find out what’s happening at Headlight.News.
Pres. Donald Trump has warned he may announce tariffs of up to 25% against two major trade partners, Canada and Mexico, as early as Saturday, February 1. Additional tariffs targeting China may also be announced. The potential impact could be felt far and wide — especially in the auto industry, with manufacturers facing a threat to profits and consumers facing the risk of higher prices. Some familiar vehicles could also disappear from the market, especially entry-level models.
Stellantis will reopen a now-shuttered assembly plant in Belvidere, Illinois, the company’s U.S. chief operating officer told employees in an e-mail. The factory will produce a new midsize Ram pickup, however, rather than the EV originally planned for the facility....
Chinese auto sales hit record levels last year – both at home and abroad. Automakers like BYD and Geely saw exports grow 400% since the beginning of the decade, making major inroads in markets like Europe and Latin America. For now, only a handful of Chinese vehicles are sold in the U.S., the Biden administration quadrupling tariffs last year. But a new study shows many American buyers eagerly hoping to see the market open up, with younger motorists particularly interested in Chinese vehicles.
Chinese automotive exports hit an all-time record last year – even while being effectively locked out of the U.S. market. But despite incoming Pres. Donald Trump’s threat to put still more tariffs on Chinese-made vehicles, the doors may not be locked forever. And anyone who checked out the new Zeekr brand’s news conference and display at the Consumer Electronics Show is likely to understand why that worries other manufacturers.
After several weak years triggered by the COVID pandemic, Chinese auto sales surged to a new record nearly twice that of the U.S. market. And strong demand for EVs and hybrids played a critical role, according to industry data. Meanwhile, Chinese auto exports also surged to record levels. More from Headlight.News.
VinFast will add a second factory in Vietnam to handle anticipated demand for its small and midsized products. The new facility is expected to begin production by July 2025. The move comes even as it delays construction of a U.S. assembly plant.