White House Announces Upcoming Tariffs on Steel, Aluminum Imports
President Donald Trump announced plans this week for tariffs on steel and aluminum imports, stirring more concern from an already anxious automotive supply industry, according to Kelley Blue Book.
The announcement was made this past Sunday that a 25% tariff would be enforced on all steel and aluminum entering the U.S. A White House official has said these tariffs will take effect March 12, reported CBS News.
This, in addition to potential tariffs being placed on Mexico and Canada, is causing automakers and the automotive parts industry to become concerned, with the recently announced tariffs expected to bring additional costs to manufacturers.
In a statement this week from the Auto Care Association, President and CEO Bill Hanvey reiterated the dangers surrounding the increasing number of tariffs being proposed.
“These industries are a critical part of not only the American transportation industry, but also U.S. manufacturing as a whole," said Hanvey. "Many specialty steel products used in our industry are not readily available from domestic sources, making access to global supply chains essential. U.S. manufacturers are at a competitive disadvantage, making it more difficult to compete in both domestic and international markets.”
The Auto Body Parts Association released its own statement on what the impact of these tariffs could be on collision repairers specifically.
"They are expected to increase the cost of imported steel and aluminum, which could lead to higher production costs for manufacturers and potentially result in increased prices for consumers," wrote ABPA Executive Director Edward Salamy. "This price impact would not only affect aftermarket collision repair parts but also OEM parts, both of which rely heavily on these materials sourced from outside of the US."
