President Donald Trump announced on Tuesday an agreement with car manufacturers in the US to relieve tariffs over the next two years and considered that it is a short -term aid to the sector.
Specifically, the new executive order amends the proclamation of March 26, 2025 that establishes a 25% tariff on some imported parts.
The agreement announced today assumes that if these parties represent 15% of the total value of a car mounted in the US and the tariff on these pieces is 25%, the government will apply an equivalent loan 3.75% of the total value of the vehicle for assemblies in the country between April 3, 2025 to April 30, 2026.
The compensation will be equivalent to 2.5% for those mounted from May 1, 2026 to April 30, 2027.
Lee: Trump reaches an agreement with car manufacturers to reduce tariffs
“We only wanted to help you during this small transition, in the short term. If they don’t get pieces, we didn’t want to penalize them,” Trump told La Prensa on the way to Míchigan, where he celebrates the first 100 days of his second mandate.
These sales would apply to both national and foreign companies with car factories in the US, as long as the final assembly of the car takes place in the country.
In the event that the compensation amount exceeds that attributable to tariff responsibility, relief is limited to the costs that would correspond to tariffs.
His executive order recalls that in 2019, during his first mandate, his government concluded that cars and certain car pieces “in such quantities and circumstances that threatened to harm national security were imported to the United States.
Trump added that in March it was estimated that these imports continued to assume a risk, so it was considered appropriate to adjust the situation through tariffs: the taxes to cars are in force since April 3 and those specifically for the parties will do so on May 3.
The current taxes of 25% on imported cars to the United States are maintained, but the measure announced now relieves its impact.
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The confirmation of that aid comes after the secretary of Commerce, Howard Lutnick, affirmed to the CNN channel that the negotiated pact with the manufacturers represents “a great victory” for Trump’s commercial policy, “since it rewards the companies that manufacture in the country and, at the same time, give free way to manufacturers that have expressed their commitment to invest in the US and expand their national production”.
Among the countries most affected by tariffs in the automobile sector are Germany and Japan, together with Mexico and Canada, although in the case of these last two, cars manufactured in those nations are temporarily exempt from the encumbrances.
With EFE information
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