The trade war between the United States and China heated up again Friday, with the People’s Republic pulling a U-turn on its treatment of U.S.-built vehicles. Come mid-December, China will hit inbound U.S. vehicles with a 25-percent tariff. Auto parts will see a 5-percent tariff.
The new — well, resurrected — auto tariffs are a reactionary measure, coming after U.S. President Donald Trump proposed, then delayed, the levying of a 10-percent tariff on $300 billion of Chinese goods. While some import taxes will hit in September, the full range of tariffs is expected to come into effect on December 15th. China’s auto tariffs, first levied last year and lifted earlier this year as an olive branch gesture, are part of a larger raft of tariffs impacting $75 billion of U.S. goods. A 5- to 10-percent tariff hits non-auto U.S. goods on September 1st.
It’s no wonder every automaker wants to build Chinese-market vehicles within that country’s borders. (Read More…)















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