US President Donald Trump (78) Before his trip to Michigan, the effects of the US tariffs will reduce the auto industry. This report US government officials. Trump wants to celebrate his first 100 days in office in the US state of Michigan on Wednesday.
Three large US car manufacturers and more than 1000 car suppliers are located in Michigan. According to the US government officials, some US tariffs are to be on foreign auto parts for in the USA to be reduced. In addition, it is to prevent US tariffs from being placed on other tariffs produced abroad.
Minister of Commerce: Great victory for Trump’s politics
“President Trump builds an important partnership with the domestic car manufacturers and our great American workers,” said commercial minister Howard Lutnick (63) on Monday evening. “This deal is a great victory for the President’s trade policy because he rewarded companies that produce domestically.” At the same time, the Trump government offers car producers an incentive to invest in the United States and to expand their domestic production.
US car manufacturers said on Monday that they expected a reduction in the auto tariffs before Trump’s trip to Michigan. US automotive associations had asked Trump in a letter last week not to raise tariffs of 25 percent on imported auto parts as planned on May 3. “Customs on auto parts will mess up the global supply chain of the automotive industry and trigger a domino effect that will lead to higher car prices for consumers and to lower sales at the dealers and make the maintenance and repair of vehicles both more expensive and less predictable,” wrote the automotive associations.
Most automotive suppliers do not have the capital to survive an abrupt customs -related interruption. Many of them are already in trouble. The failure of a single supplier is already sufficient to bring the production of an automobile manufacturer in the USA to a standstill.
The writing of the associations, which among other things General Motors, Toyota Motor, Volkswagen and Hyundai represented, the US trade officer Jamieson Greer, finance minister Scott Bessent (63) and Minister of Commerce Lutnick was sent.