Trump's 25 Percent Tariff Decision on Imported Cars
US President Donald Trump, signed an executive order imposing a 25 percent tariff on imported cars and trucks. Speaking at the signing ceremony at the White House, he described the move as “The beginning of America's Independence Day" he described it as. Trump said, "We will impose a 25 percent tariff on all cars not manufactured in the US" he said. Trump also emphasized that vehicles produced in the USA would be exempt from this tariff and stated that many automotive companies were moving their production back to the country in order to avoid the tax.
Trump's Tariff Policy
The US had previously imposed an additional 25% tariff on some products imported from Canada and Mexico on March 4. However, Trump said USMCA (United States-Mexico-Canada Agreement) had decided to postpone this tax for products until April 2. In addition, additional tariffs on US steel and aluminum imports began to be implemented on March 12.
In response to the US move, the Canadian government announced that it would impose a 29,8 percent tax on imports worth 25 billion Canadian dollars. The European Union also announced on the same day that it would impose an additional tax of 26 billion Euros against the US. These measures, which were scheduled to come into effect on April 1 and 13, were postponed until mid-April to allow time for negotiations.
Finally, Trump announced that starting April 2, countries importing oil or gas from Venezuela will also be subject to a 25 percent tariff.
