President Trump revealed a new 25% tariff on foreign-made automobiles on Wednesday, affecting approximately half of all vehicles sold in the United States. He justified the measure as a way to promote domestic manufacturing.
During an announcement in the Oval Office, Trump declared, “this is gonna lead to the construction of a lot of plants” dedicated to building cars in the United States.
He elaborated, stating, “We’ll effectively be charging a 25% tariff, but if you build your car in the United States, there is no tariff.”
Will Scharf, the White House staff secretary, informed Trump that the initiative was expected to generate $100 billion in annual revenue. However, experts have warned that the move could significantly decrease the volume of imports.
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