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April 2nd Tariffs (Patreon)

Published:
2025-03-27 01:03:12
Imported:
2026-06
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Content

Trump introduced a 25% tariff on ALL vehicles not made in the United States. This tariff will go into effect on April 2nd. About 40% of all new cars sold in the US are imported, so this tariff is a big deal. It will be a massive boost to those who make their cars in the USA.

REAL TIME QUOTES BELOW FOR IMPACT

In addition, Trump is trying to get tax free loans approved for those who buy MADE IN AMERICA vehicles.

This is a breakdown of where cars sold in the US are made:

  • • Tesla: 100% U.S.

  • • Ford: 77% U.S., 21% Canada & Mexico, 2% Other

  • • Stellantis: 57% U.S., 39% Canada & Mexico, 4% Other

  • • Nissan: 52% U.S., 31% Canada & Mexico, 17% Other

  • • GM: 52% U.S., 30% Canada & Mexico, 18% Other

  • • Toyota: 48% U.S., 27% Canada & Mexico, 25% Other

  • • Kia: 33% U.S., 8% Canada & Mexico, 59% Other

  • • Volkswagen: 21% U.S., 43% Canada & Mexico, 36% Other

If the 25% tariff remains in place for a long period, legacy automakers will probably go under. They are mostly going to go bankrupt anyhow given their lack of ability to adapt to teh new wave quickly. Trump said this new tariff will be permanent, so it will be interesting to see how this plays out and whether the tariff sticks around or not.

 

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Comments

Jason Costelle

This analysis leaves out that the PARTS that are used to build cars in the US are mostly imported. I read up to 70% of parts are imported and subject to tariffs. This post seems agenda driven to sanewash stupidity and damage of tariffs.

Alex Crypto

Not accurate. Per Chatgpt: "Tesla’s vehicles incorporate a significant portion of domestically sourced components, but they also rely on imported parts that will be affected by the upcoming 25% tariffs announced by President Trump.  Breakdown of Tesla’s Parts Sourcing: • Model 3 Long Range AWD/RWD: 75% of parts are sourced from the U.S. and Canada, with approximately 20% from Mexico.  • Model 3 Performance and Model Y Variants: 70% from the U.S. and Canada, and around 20-25% from Mexico.  • Cybertruck: 65% from the U.S. and Canada, with 25% from Mexico. • Model S: 65% from the U.S. and Canada, and 20% from Mexico.  • Model X: 60% from the U.S. and Canada, with 25% from Mexico. These figures indicate that approximately 20-25% of Tesla’s vehicle components are imported from Mexico. Additionally, an unspecified percentage comes from Canada. While the U.S.-Mexico-Canada Agreement (USMCA) facilitates trade among these countries, the newly imposed tariffs will impact these imported parts.   Tesla’s CEO, Elon Musk, has acknowledged the significance of these tariffs, stating that their impact on the company is “not trivial.”  In summary, while Tesla manufactures its vehicles in the United States and sources a majority of its parts domestically, the company still depends on imported components—particularly from Mexico and Canada—that will be subject to the upcoming tariffs. "