On March 27, COINOTAG News reported that U.S. President Donald Trump announced a significant 25% tariff on all imported automobiles, set to commence on April 2. This tariff aims to bolster domestic manufacturing, with Trump noting that vehicles produced within the U.S. would be exempt from these tariffs. Moreover, he clarified that components fabricated in the U.S. but used in foreign-manufactured vehicles would not incur the tariff, potentially impacting supply chains.
The proposed measures also extend to lumber and pharmaceutical products, suggesting a comprehensive approach to trade policy. According to U.S. officials, the new tariff structure could generate over $100 billion in additional revenue annually, a substantial increase from the preceding tariff rate of 2.5%. Meanwhile, international responses have surfaced, with the Ontario Premier signaling potential retaliatory actions and European Commission President Ursula von der Leyen expressing concerns, pledging to evaluate the implications of these tariffs and pursue diplomatic resolutions.