- The White House confirmed a report in the Wall Street Journal that car manufacturers will not face additional prices for goods such as steel and aluminum Above the 25% taken from cars and car parts. This last adjustment of Trump’s evolving commercial policy is designed to offer businesses more time to move a certain production from abroad to the United States.
President Donald Trump plans to reduce the economic pain that his administration has inflicted on the global automotive industry with another adjustment of his evolving pricing policy.
Monday, the White House confirmed a Wall Street Journal Note that this would limit import rights for car manufacturers and their suppliers to 25% of the value of cars and parts imported into the United States from abroad, releasing manufacturers from other prices which are currently stacked at the top, such as those of steel and aluminum.
This last adjustment of Trump’s trade policy is designed to offer companies more time to move a certain production from abroad to the United States. This is a long process that can take much more than a year due to the complexity of the uproot and the displacement of whole supply chains.
“This agreement will be a major victory for the president’s trade policy by rewarding companies that are already manufacturing at the national level, while providing a track to manufacturers who have expressed their commitment to investing in America and extending their national manufacturing,” said US Secretary in Commerce Howard Lutnick to the newspaper.
The White House did not respond to a request by Fortune For comment in press times.
Low net approval notes
Only 100 days after Trump’s second term, the administration faces increasing pressure to facilitate the burden of consumers and producers. His use of employment falls even before the complete weight of the prices is felt: several large -scale retailers such as Walmart And Target Warn private the White House The shelves could soon be empty Once the inventory stocks have been exhausted.
The president “economic war against the whole world both“, Like the billionaire of the hedge fund, Bill, Ackman, called him, led to the loss of 8% of the S&P 500 since the inauguration – and even stronger losses before his 90 -day price break. The United States is now expected by many economists Slip into a self-inflicted recession And Trump’s popular support at this stage is The lowest recorded any presidency in 80 years.
“The polls of false news are, like the news itself, false!” Asset wrote Tuesday in an article on his social platform Truth. “We are fine, better than ever.” Yet even surveys conducted by the Republicans Fox The news indicates its Net approval is in both negative figures.
The clearest sign that the White House could end its breakup is the absence of Peter Navarro of the waves. The trade falcon and the architect of the Liberation Day prices have largely disappeared after its break with the megadoneur of Trump Elon Musk, who called him “Dumber a brick bag».
Yet even the Tesla The CEO revealed last week during the call for the company’s first quarter, he has few clues where the prices are directed, although he is the closest advisor to Trump.
The car research center in Michigan estimated Earlier this month, the price of 25% of the president would increase the cost of $ 108 billion to all American car manufacturers. These costs – which take full effect compared to May 3 with the addition of charges from imported automotive parts – must be supported by companies, buyers or a combination of the two.
Trump considers that industrial re-sage is vital for national security
The forecourte of the S&P Industry Industry has reduced 700,000 cars to its annual estimate of sales of US light vehicles two weeks ago following Trump prices, calling downward revision “One of the biggest changes in a single month“He did alongside crises such as the collapse of Lehman and the cocovable epidemic.
Nevertheless, the CEOs aligned themselves to thank the president for reducing their pain, which, according to the White House economic self -sufficiency Vital for American national security.
“Ford welcomes and appreciates these decisions by President Trump, which will help to mitigate the impact of prices on car manufacturers, suppliers and consumers,” said CEO Jim FarleyWall Street Journal. His counterpart at General MotorsMary Barra, then said that her team was looking forward to working with the Trump administration.
But for exclusive exporters like Porsche, too small to afford its own American mounting chain, prices potentially mean hundreds of millions of dollars in addition Winds.
One of the reasons why the car rates are so harmful is their training effect in whole economies: car manufacturers are APEX consumers who ride a wide range of industrial sectors.
Thousands of suppliers of large and small food manufacturers with raw materials and intermediate entries shipped to automotive factories such as the precision district. This includes everything, plastics molded by injection to galvanized steel, semiconductors and other advanced electronics.
This story was initially presented on Fortune.com
