Commerce Secretary Wilbur Ross said that after having “very good conversations” with automakers in the European Union (EU), Japan, and Korea, he feels that that it may not be necessary for the U.S. to impose Sec. 232 tariffs on autos and motor vehicle parts imported by those nations.
“Our hope is that the negotiations we’ve been having with individual companies about their capital investment plans will bear enough fruit that it may not be necessary to put the 232 fully into effect, may not even be necessary to put it partly in effect,” Ross told Bloomberg Television on Sunday while in Bangkok for the Association of Southeast Asian Nations (ASEAN) summit.
Sec. 232 tariffs, as part of the 1962 Trade Expansion Act, can be implemented if the U.S. deems trade of goods with certain nations to be a national security risk. The Trump administration has considered investigating and issuing 25 percent tariffs on auto imports since last year. President Trump has until mid-November to decide whether to go through with his plan or delay further.
MEMA has joined other sectors of the auto industry to actively oppose the imposition of tariffs, quotas or other trade restrictions on automobiles and auto parts. We have held fly-ins, met with members of Congress and administration officials, and other groups to explain the harm tariffs will have on the motor vehicle supplier industry. For more information, please contact Catherine Boland.