Trump to impose 25 percent tariffs on all cars not made in the US

Engadget - Mar 27th, 2025

President Donald Trump has signed a proclamation imposing 25 percent tariffs on all cars not made in the United States, including imported sedans, SUVs, and automotive components such as engines and transmissions. The tariffs, set to take effect on April 2, aim to bolster US manufacturing and are expected to generate over $100 billion in new annual revenue according to White House aide Will Scharf. Automakers are assured that there will be no tariffs on vehicles produced domestically, and companies under the US-Mexico-Canada agreement have been given time to certify their US-made parts to avoid additional taxes. European Commission President Ursula von der Leyen has criticized the decision, citing negative impacts on businesses and consumers in the US and EU.

The imposition of these tariffs is part of a broader strategy by the Trump administration to encourage domestic production and reduce reliance on foreign imports. However, the move has drawn criticism from international partners and raised concerns about potential inflation and increased consumer prices. While the White House argues that the tariffs will benefit the economy, critics, including von der Leyen, warn that such measures could strain international trade relations and lead to retaliatory actions. This development highlights ongoing tensions in global trade policies and their implications for international economic dynamics.

Donald Trump Tariffs Us Economy Ursula Von Der Leyen Trade Policies Automobile Industry

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RATING

6.0

Moderately Fair

Read with skepticism

The news story provides a clear and timely account of President Trump's imposition of a 25% tariff on non-US made cars. It effectively communicates the key details and includes perspectives from both the Trump administration and the European Commission. However, the lack of detailed economic analysis and reliance on a limited range of sources somewhat weaken its accuracy and source quality. The story's potential to engage readers and influence public opinion is notable, given the high public interest in trade policies and their economic implications. Overall, while the article succeeds in presenting the basic facts, it could benefit from greater transparency and a broader range of perspectives to enhance its depth and reliability.

Accuracy

The story accurately describes President Trump's imposition of a 25% tariff on all cars not made in the United States, and this aligns with the details provided. The effective date of April 2 for the tariffs and the start of collection on April 3 are also consistent with the information available. However, the claim that the tariffs will generate over $100 billion in new annual revenue appears optimistic and may require further verification, as this figure is not substantiated with detailed economic analysis or historical precedent. Additionally, while the story notes Ursula von der Leyen's criticism, it lacks a broader discussion on the potential economic impact, such as inflation or price increases, which could affect the story's accuracy in terms of economic implications.

Balance

The article presents perspectives from both the Trump administration and the European Commission, offering a degree of balance. However, it leans slightly towards the administration's viewpoint, particularly in the assertion that tariffs will benefit the economy without leading to inflation. The story could have improved balance by including more diverse expert opinions on the economic impact of such tariffs, as well as potential responses from other affected countries beyond the European Union.

Clarity

The article is generally clear and well-structured, with a logical flow of information. It effectively outlines the key details of the tariff imposition and the reactions from relevant stakeholders. The language used is straightforward, making the content accessible to a broad audience. However, the absence of detailed economic analysis leaves some questions unanswered, which could affect understanding for readers seeking in-depth information.

Source quality

The story cites a statement from President Trump and a reaction from the European Commission's president, indicating reliance on authoritative sources. However, it lacks direct citations from economic experts or detailed reports that could provide deeper insights into the tariff's potential impact. The mention of CNBC adds some credibility, but the absence of specific data or analysis weakens the overall source quality.

Transparency

The article lacks transparency in terms of explaining the methodology behind the projected $100 billion revenue from the tariffs. It does not provide context or evidence to support this figure, nor does it discuss potential conflicts of interest or biases in the sources cited. Greater transparency could have been achieved by detailing the basis for economic claims and the potential impact on different stakeholders.