Trump has tariffs on Canada, Mexico, and China

Donald Trump: Taxes and Importances to Stop the Traffic of Illegal Drugs Into the US, from Canada, Mexico, and China

Atariff is a tax on imported goods The Trump administration has a plan to stop the traffic of illegal drugs into the US from Canada, Mexico, and China. As the Biden administration did with the electric vehicles from China, presidents often use tariffs in trade negotiations or to protect domestic industries. As The New York Times pointed out, Trump sees tariffs as a large source of revenue for the US if he wants to replace income taxes.

“This was done through the International Emergency Economic Powers Act (IEEPA) because of the major threat of illegal aliens and deadly drugs killing our Citizens, including fentanyl,” Trump said in a post on Truth Social. “We need to protect Americans, and it is my duty as President to ensure the safety of all.”

Tariffs were one of Trump’s major campaign promises, and he’s floated additional ones, like a tax on semiconductors from Taiwan. He has made threats against both of those countries. During his inauguration speech, the president said he would immediately begin an upgrade of the US trade system. “Instead of taxing our citizens to enrich other countries, we will tariff and tax foreign countries to enrich our citizens.”

Automakers brace for massive impact of Trump’s tariffs: The case of Mexico, the Puebla factory and the S&P Global Mobility

“As that price goes up, consumers exit,” Wall said. They are going to hold off and wait. They may go to the used market. I’ll tell you what, if pricing on the new market goes up, guess what? Pricing on used market is going to be impacted because of supply and demand.

If the prices of certain components go up, that will have an impact on the electric vehicle prices. Rivian CEO RJ Scaringe warned that the tariffs were more threatening to the EV industry than the tax incentives under Trump. And while many EV makers are making huge investments in domestic manufacturing thanks to the Biden administration’s Inflation Reduction Act, they are still just as exposed as companies that build combustion engines.

Volkswagen’s Puebla factory is Mexico’s largest and one of the biggest in the Volkswagen Group, making nearly 350,000 cars in 2023, including the Jetta, Tiguan, and Taos models, all for export to the United States. The company said it remains a strong advocate for free and fair trade.

The German auto giant added that they were monitoring and planning for various scenarios. We hope for a swift resolution to the tariffs.

Virtually every automobile company will be impacted, including Ford, Mazda, GM, and even the Toyota.

The economists believe the outcome will be higher prices for a range of consumer goods. Trump claims foreign companies will eat the higher costs, but don’t be fooled.

You may not see higher MSRPs right away, says Mike Wall, executive director for automotive analysis at S&P Global Mobility. You will see fewer incentives and special deals at the dealership as the dealers get more suspicious about their vehicle inventories. Perhaps fewer vehicles even get made as manufacturers weigh the costs of paying 25 percent duties on key parts and components. The consumer will eventually be affected by the higher costs of building a car in the US.

Source: Automakers brace for ‘massive’ impact of Trump’s tariffs

EVs, Public Transportation, and Aviation: Contribution of J. A. Toyett-McKinnon

is transportation editor with 10+ years of experience who covers EVs, public transportation, and aviation. His work has appeared in at least two newspapers.