Donald Trump announces 25% tariff on cars imported to the US starting April 3 – car parts also affected

Donald Trump announces 25% tariff on cars imported to the US starting April 3 – car parts also affected

In a move to protect and improve the United States automotive industry, president Donald Trump has announced new import taxes of 25% on cars and car parts. The fresh tariffs on foreign-made cars will take effect on April 3, 2025 at 12.01am ET, while the levy on car parts is set to take effect “no later than May 3.”

According to a fact sheet posted by the White House, the 25% tariff will be applied to imported passenger vehicles, which include sedans, SUVs, crossovers, minivans and cargo vans. Light trucks aren’t left out either and are subject to the same tax.

The United States–Mexico–Canada Agreement (USMCA) was also mentioned, where by importers of the cars under the free trade treaty will be given the opportunity to certify their US content. “Systems will be implemented such that the 25% tariff will only apply to the value of their non-US content,” read the fact sheet.

“USMCA-compliant automobile parts will remain tariff-free until the secretary of commerce, in consultation with US customs and border protection (CBP), establishes a process to apply tariffs to their non-US content, it continued.

Donald Trump announces 25% tariff on cars imported to the US starting April 3 – car parts also affected

Engines, transmissions, powertrain parts and electrical components were listed as car parts that will be taxed, with “processes to expand tariffs on additional parts if necessary.”

CNN reports that because of the USMCA, automakers treated Canada, Mexico and the US as one big country, with no tariffs among them. “Frankly, friend has been oftentimes much worse than foe. And what we’re going to be doing is a 25% tariff on all cars that are not made in the United States. If they’re made in the United States, it’s absolutely no tariff,” Trump told reporters.

Following Trump’s announcement, Canada prime minister Mark Carney said the tariffs were a “direct attack” in violation of the USMCA and options will be examined for a response, including possible retaliatory tariffs. European Commission president Ursula von der Leyen also condemned the tariffs and said the European Union will wait to announce any retaliatory actions.

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Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard's strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • meladam on Mar 27, 2025 at 11:53 am

    definitely he learn from atok tongkat

    Like or Dislike: Thumb up 7 Thumb down 3
    • kogila on Mar 27, 2025 at 1:45 pm

      25% is nothing lah. MALAYSIA as high as 180% also nobody said anything. Rakyat miskin also nobody care, all drive p1 and p2

      Like or Dislike: Thumb up 4 Thumb down 1
    • Mat Rambutan on Mar 27, 2025 at 9:44 pm

      Republicans have been learning from Malaysia for decades. Atok Mamak would ensure huge swathes of our population remained poorly educated and uninformed to ensure a steady stream of voters for BN. Republicans did the same with ‘red’ states in the US. The difference is the Republicans got hijacked by Trumph once their voter base got too dumb, while here BN got sideswiped by PAS.

      Like or Dislike: Thumb up 5 Thumb down 1
      • Meleisian politics 101 on Mar 30, 2025 at 3:33 am

        Rule No. 1
        Weaponize poverty and keep the poor addicted to handouts like ketum addicts. This will guarantee votes

        Like or Dislike: Thumb up 3 Thumb down 0
    • He is taking care of his county.. mind your own own nasi lemak bisnes

      Like or Dislike: Thumb up 0 Thumb down 2
  • Habislah proton…cannot export to US dy.

    Owait~

    Like or Dislike: Thumb up 0 Thumb down 0
  • ngong gia (voters) chose xiao gia!

    Like or Dislike: Thumb up 0 Thumb down 0
  • Elon the Musketeer on Mar 27, 2025 at 7:37 pm

    Donald the trumpeter is killing his own citizens financially.
    Even Harley Davidson operating from Mexico is gonna go bust very soon.Soya beans,khinzir,corn US farmers are facing financial hardships due to this “tariff guru”.Their produce are rotting in the American sun.
    Cant fathom how USA citizens,can give him a second term.Just disgusting,deplorable and unacceptable.

    Like or Dislike: Thumb up 1 Thumb down 0
  • President Xi on Mar 27, 2025 at 7:58 pm

    So stop selling cars and spare parts to USA. China will buy all your products.

    Like or Dislike: Thumb up 3 Thumb down 0
 

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