FI showroom red and grey logo
MenuMENU
SearchSEARCH

Tariffs on Hold as Trump Weighs National Security Impact

An anonymous source told Bloomberg that no new tariffs on foreign-made vehicles will be announced until after a Commerce Department report is finalized in February.

Tariq Kamal
Tariq KamalFormer Associate Publisher
Read Tariq's Posts
November 14, 2018
Tariffs on Hold as Trump Weighs National Security Impact

Bloomberg reports President Donald Trump will not impose new tariffs on foreign-made vehicles as he awaits the findings of a Commerce Department report due in February.

Photo courtesy The Epoch Times via Flickr

2 min to read


WASHINGTON — An anonymous source told Bloomberg that President Donald Trump is “not ready to act” on threatened auto import tariffs following a Tuesday meeting with his top trade advisers. At issue is a Commerce Department report on the national security implications of new trade restrictions. A final draft is due from Commerce Secretary Wilbur Ross in February.

If the report deems auto imports to be a national security threat, the president will have 90 days to decide whether to act and another 15 days to execute any prescribed measures, which could include tariffs as well as quotas.

Ad Loading...

Trump has threatened new tariffs as high as 25% on foreign-made cars. The NADA has estimated prices could rise by as much as $2,270 on affected U.S.-built cars and trucks and $6,875 on imported vehicles. Business and government leaders have repeatedly warned the administration such a move would disrupt the global automotive industry and the growth and stability of the U.S. economy.

Stock prices for Subaru and other Asian factories rallied Wednesday in wake of the news. Vehicles built in Canada, Mexico, and the EU are currently exempt from new import tariffs.  

Photo courtesy Subaru of America Inc.

News of a delay was greeted by stock-market gains for Honda, Mazda, Nissan, Subaru, and Toyota. Vehicles built in Canada and Mexico are exempt from new tariffs — subject to caps — thanks to deals negotiated under the new U.S.-Mexico-Canada Agreement. Manufacturers in nations belonging to the European Union are believed to be exempt for as long as talks continue on a new trade pact.

“We are under the assumption that is still valid,” EU Trade Commissioner Cecilia Malmstrom told Bloomberg, referring to a mutually agreed-upon halt on new tariffs from either side.

Topics:Showroom

More Dealer Ops

F&Iby StaffApril 2, 2025

DOWC Powers the Future of F&I for NESNA

Company is providing a fully integrated F&I administration model to Nissan Extended Services North America’s dealer network.

Read More →
IndustryNovember 27, 2024

Six Powerful Questions

Take the time to answer these and lay the groundwork for a successful year-end.

Read More →
Dealer Opsby Hannah MitchellSeptember 19, 2024

Sunny Side Up

Many dealers are going green – both environmentally and cash-wise – by powering their stores with solar-generated electricity.

Read More →
Ad Loading...
IndustryAugust 26, 2024

Is It Time to Rethink Business Development Centers?

Their role at automotive dealerships is essential today to give salespeople time to close deals.

Read More →
Product & Technologyby Hannah MitchellAugust 22, 2024

A Backup Plan

DMS outage revealed a gap that dealers may want to fill.

Read More →
Dealer OpsAugust 20, 2024

Maximizing Revenue Potential

The strategic imperative for auto dealers is to prioritize F&I product sales and wealth-building in challenging times.

Read More →
Ad Loading...
IndustryAugust 7, 2024

How to Optimize Liquidity in a Fluid Environment

It's wise to not take your dealership's banking relationships for granted.

Read More →
IndustryJuly 29, 2024

Unlocking the Keys to Success

Why customer retention matters now more than ever

Read More →
Dealer Opsby StaffJuly 23, 2024

Store Names First Female Dealer Principal

Howard Bentley Buick GMC is now headed by Taylor Bentley Conner.

Read More →
Ad Loading...
IndustryJuly 18, 2024

Masters in Training

Rick McCormick preaches the wisdom of breaking into what he considers the top 3% of F&I managers with a stance of continuous development.

Read More →