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Donald Trump’s plan for American carmaking is full of potholes

Mar 31st 2025

Donald Trump has promised to impose sweeping tariffs on imported goods on April 2nd, dubbing it “Liberation Day”. The car industry got a preview of what is in store a week earlier, when on March 26th America’s president said he would charge hefty levies on imported cars and parts. The aim is to restore carmaking to America. But it will come at a high cost. Raised prices will hit sales and reduce choice for American consumers. Carmakers, meanwhile, will be “liberated” from large chunks of their profits.

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