Trump Promises to ‘Even Out’ Auto Industry Trade Imbalance

FILE – Cars for export stand in a parking area at a shipping terminal in the harbor of the northern German town of Bremerhaven, Oct. 8, 2012.

U.S. President Donald Trump tweeted Tuesday that the government is finishing a study of tariffs on cars imported to the United States, while a U.S. automobile manufacturers’ group warned that placing new tariffs on imported cars will drive consumer prices up thousands of dollars per vehicle.

Trump said in his tweet that European cars “have long taken advantage of the U.S.” in the form of trade barriers and tariffs. He promised that “in the end it will all even out — and it won’t take very long!”

Trump was following up Friday’s threat that he might impose a 20 percent tariff on all imports of cars assembled in the European Union. The study he referenced in his tweet is meant to determine whether imported cars pose a security threat.

Commerce Secretary Wilbur Ross said last Thursday the study should be finished by late July or August.

Meanwhile, the Alliance of Automobile Manufacturers, which represents General Motors, Toyota, Volkswagen, and other major automakers, warned Tuesday that the 20 percent tariff Trump is considering would cost Americans nearly $45 billion in taxes, or about $5,800 per vehicle.

Spokeswoman Gloria Bergquist told reporters that American consumers could also expect to pay more for parts for imported cars.

The European Union has promised to respond to any U.S. tariff hikes on European cars. (VOA News)

Popular

Pacquiao returns to gov’t, joins Cabinet as NAPC chief

By Darryl John Esguerra | Philippine News Agency Former senator and boxing icon Manny Pacquiao returns to government service as lead convenor and secretary of...

Palace respects Ombudsman’s plunder case vs Romualdez

By Darryl John Esguerra | Philippine News Agency Malacañang on Monday said it respects the Office of the Ombudsman’s filing of a plunder case against...

PBBM hails Marikina as ‘model’ for efficient, sustainable waste management

By Dean Aubrey Caratiquet Ensuring compliance with his directive to ensure responsible practices in disposing of garbage, President Ferdinand R. Marcos Jr. led an inspection...

DMW shuts down tourism consultancy agency in Ortigas

By Gab Humilde Villegas | PTV News The Department of Migrant Workers (DMW) shut down a tourism consultancy agency in Ortigas, Pasig City on Friday...