Trump's Tariffs Will Collapse the American Auto Industry

True. I agree. That's too bad? Blame American voters themselves! Only MAGA voters can't make Trump's dreams come true. Next election, don't vote for Republicans. very simple. lol. :)

👉 As of April 2025, President Trump's 25% tariffs on imported vehicles are expected to have significant negative impacts on the U.S. auto industry. Analysts predict that these tariffs could lead to a collapse in sales and production levels, potentially costing the industry around $100 billion.

#### Immediate Effects on the Industry

The tariffs, which were implemented recently, have already begun to disrupt the automotive sector. Reports indicate that companies are halting shipments of cars to the U.S. and shutting down factories due to the increased costs associated with these tariffs. This disruption is particularly concerning given that nearly half of the cars sold in the U.S. are imported, meaning that the tariffs will significantly raise vehicle prices—by an estimated $6,000 on average.

#### Long-Term Implications

The long-term implications of these tariffs could be dire. The Center for Automotive Research has projected that the tariffs will increase costs for U.S. automakers by approximately $108 billion, which could lead to job cuts and supplier closures across the industry. The combination of higher prices and reduced sales could create a vicious cycle that further destabilizes the industry.

#### Conclusion

The immediate and long-term effects of these tariffs are likely to lead to significant challenges for automakers, potentially resulting in a major downturn in the industry.

sources :
1. https://www.cnbc.com/2025/04/12/auto-tariffs-sales-costs.html
2. Trump’s Tariffs Are Already Reducing Car Imports and Idling Factories
3. Why Trump’s 25% tariffs on autos could backfire | Steven Greenhouse
4. https://www.reuters.com/business/au...ean-americas-beloved-pickup-truck-2025-03-05/
5. Fact Sheet: President Donald J. Trump Adjusts Imports of Automobiles and Automobile Parts into the United States
6. Auto industry braces for chaos as Trump sets 25% tariff on all imports
7. Trump Tariffs Run Over Already-Desperate Car Industry; Higher Prices, Job Cuts, and Supplier Closures Baked In | naked capitalism
8. Trump's latest auto tariffs explained: What car buyers should know this year
9. https://www.motortrend.com/news/trump-tariffs-trade-war-automotive-industry-impact-developments/
 
His tariffs will result in increased costs for auto makers, thus translating higher prices for new cars. That will, in turn, send people flocking to used vehicles, which will drive up their prices as well. People will hang on to cars longer than normal, opting to make expensive repairs as it will be cheaper, and overall sales will decline.

“What we’re seeing now is a structural shift, driven by policy, that’s likely to be long-lasting,” Felix Stellmaszek, Boston Consulting Group’s global lead of automotive and mobility, told CNBC. “This may well be the most consequential year for the auto industry in history — not just because of immediate cost pressures, but because it’s forcing fundamental change in how and where the industry builds.”

BCG expects tariffs to add $110 billion to $160 billion on an annual run rate basis in costs to the industry, which could impact 20% of U.S. new-vehicle market revenues, increasing production costs for both U.S. and non-U.S. manufacturers.

The Center for Automotive Research, a Michigan-based nonprofit think tank, believes costs for automakers in the U.S. alone will increase by $107.7 billion. That includes $41.9 billion for Detroit automakers General Motors, Ford Motor and Chrysler parent Stellantis.


This dude is the GLOBAL head of automotive and mobility for bla, bla, bla. That means his job is to find better (cheaper) places to manufacture autos. This guy is a corporate scumbag who makes his money at the expense of the American worker. And here you are, swallowing his corporate globalist bullshit, hook, line and sinker.
 
His tariffs will result in increased costs for auto makers, thus translating higher prices for new cars. That will, in turn, send people flocking to used vehicles, which will drive up their prices as well. People will hang on to cars longer than normal, opting to make expensive repairs as it will be cheaper, and overall sales will decline.

“What we’re seeing now is a structural shift, driven by policy, that’s likely to be long-lasting,” Felix Stellmaszek, Boston Consulting Group’s global lead of automotive and mobility, told CNBC. “This may well be the most consequential year for the auto industry in history — not just because of immediate cost pressures, but because it’s forcing fundamental change in how and where the industry builds.”

BCG expects tariffs to add $110 billion to $160 billion on an annual run rate basis in costs to the industry, which could impact 20% of U.S. new-vehicle market revenues, increasing production costs for both U.S. and non-U.S. manufacturers.

The Center for Automotive Research, a Michigan-based nonprofit think tank, believes costs for automakers in the U.S. alone will increase by $107.7 billion. That includes $41.9 billion for Detroit automakers General Motors, Ford Motor and Chrysler parent Stellantis.



I live in Metro Detroit, and guess what. The auto industry has already been limping along for years and years.
 
Unions LOVE Trump's plan, but notice how the leftwingers are suddenly concerned about the corporations instead of the union workers. Everything the left claimed to want, Trump is now doing. Yet the hypocrites still slam Trump.
Unions don't give a shit about american consumers. They care about their contracts.
 
Unions don't give a shit about american consumers. They care about their contracts.
We all know that. But Dems sure have change their tune on "exploited" brown workers abroad. Remember when Walmart was the epitome of evil? Now the leftwing hypocrites have done an about face on them.
 
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