Summary
Trump warned automakers not to raise prices after announcing a 25% tariff on imported vehicles starting April 3, claiming the tariffs would be “great” and benefit U.S. manufacturing.
Industry leaders, including GM, Ford, and Stellantis CEOs, expressed concerns about inevitable price increases, with experts warning tariffs could add thousands to car costs.
Auto suppliers stated that absorbing tariffs is impossible, and dealers fear affordability challenges for consumers.
While the United Auto Workers union support the move as a job creator, trade groups predict higher prices and fewer manufacturing jobs.
There are too many steps in that chain of reasoning (more than one) to resemble anything that goes through Trump’s so-called mind. He doesn’t understand comparative advantage, he doesn’t understand global trade, he doesn’t understand what happens when tariffs are imposed. Although he probably doesn’t know the word, he probably thinks autarky works.
His handlers want him to impose tariffs because they damage world trade and put stress on economic alliances like the EU. And whose bloodthirsty imperialist plans would benefit from a weaker EU?
I learned a new word today because of you, thanks!