President Donald Trump has moved forward with his long-threatened 25 percent tariff on vehicles and parts imported from outside the United States. During an Oval Office signing ceremony Tuesday afternoon, President Trump claimed tariffs would push automakers to move more plants to the U.S. This comes as Honda recently announced it would build the next-generation Civic in Indiana instead of Mexico. As for the Detroit Big Three, they have publicly warned for weeks that immediate actions would be damaging to the American auto industry and raise prices, and analysts have cautioned that sales could drop. Cox Automotive estimated the tariffs could result in 700,000 fewer vehicles being sold in the U.S. in 2025.
