Trump's Auto Tariffs Threaten Global Industry, Could Cost $110 Billion

President Trump's new tariffs on imported automobiles are poised to disrupt the global auto industry, potentially increasing car prices and reducing production. The tariffs, announced on March 26, impose a 25% tax on imported vehicles, prompting manufacturers to seek exemptions. Ford and GM stocks fell 4.4% and 8.2%, respectively. Analysts estimate the tariffs could cost automakers $110 billion annually, with some cars potentially increasing in price by $10,000. Japanese automakers, exporting nearly 1.4 million vehicles to the U.S. in 2024, face significant impact. German Chancellor Olaf Scholz criticized the tariffs as a mistake.