January 17, 2025
Contact: media@americanautomakers.org
ICYMI: American Automakers Propose New Tariffs Should Not Apply to USMCA Auto Trade
WASHINGTON, D.C. – In an article published by Politico earlier this week, Governor Matt Blunt, president of the American Automotive Policy Council (AAPC), stated that cars and parts which meet the USMCA’s rigorous rules of origin (RoO) should be exempt from any new tariffs.
“If these tariffs are imposed, all vehicles and parts that comply with current USMCA trade agreement rules should be exempt, as they meet the strict standards originally negotiated by President Trump to support jobs and investment in the United States,” Governor Blunt told Politico Pro on Wednesday.
The strict USMCA RoO President Trump renegotiated in his first term has played a key role in bolstering the growth and competitiveness of American Automakers. With their deep roots in the United States, automakers like Ford, GM, and Stellantis have invested tens of billions of dollars throughout the U.S. to meet the rigorous requirements.
USMCA’s stringent steel & aluminum sourcing requirements, high regional content levels, and high-standard labor provisions have resulted in significant levels of American-made content in all USMCA-compliant vehicles. In fact, the requirements are so rigorous that 1 in 5 vehicles imported from Mexico in 2023 paid the tariff, rather than making the investments necessary to benefit from USMCA. Ford, General Motors and Stellantis, on the other hand, continued their enduring commitment to our nation’s auto industry by making massive investments to meet Trump’s USMCA requirements – enhancing American Automakers’ global competitiveness, while boosting U.S. economic security.
AAPC looks forward to working closely with the Trump Administration, Congress and other U.S. auto industry stakeholders to ensure that any new tariffs imposed will not hinder the continued growth and global competitiveness of American Automakers, as well as our nation’s auto industry as a whole.