Kathmandu. US President Donald Trump has made a new announcement regarding tariffs. According to the new announcement, a 25 percent tariff will be imposed on cars and car parts imported into the US.
Trump’s move has further increased the possibility of a global trade war. Trump has said that the new tariffs will be implemented from April 2. This fee on car parts will be implemented from May or later.
President Trump claimed that his move will lead to a ‘big boost’ in the car industry. He promised that this move will also increase jobs and investment in the US.
Experts have a slightly different opinion. They say Trump’s move could temporarily halt key U.S. auto production, raise prices and strain relations with allies.
The United States imported about 80 million cars last year, doing business worth about $240 billion. Mexico is the top exporter of cars to the United States, followed by South Korea, Japan, Canada and Germany.
Trump’s new move raises the risk of affecting the global auto trade and its supply chain. –Agency
