The auto industry in the United States are preparing for higher costs and significant disruptions to its North American supply chains as President Trump’s 25 per cent tariffs on Canada and Mexico is set to become a reality.
The tariffs could lead to increased production costs, higher vehicle prices, and delays in manufacturing, prompting companies to reassess their sourcing and operational strategies.
“The tariffs are all set,” Trump told reporters on Monday afternoon, saying that there was no room for Canada or Mexico to negotiate another reprieve. “They go into effect tomorrow.”