
President Donald Trump’s tariffs against Canada, Mexico, and China, could cost the American car industry upwards of $33 billion, analysts predict. Lower-income consumers are expected to feel the brunt of these tariffs and a trade war has the potential to jack up prices and increase the cost of living.
The impact of these tariffs on the auto industry will be significant. Approximately 27% of all imports from Mexico between January and November 2024 were cars and car parts, while 12% of Canadian imports were cars and parts. No less than 22% of all new vehicles sold in the US last year were produced in Mexico or Canada.