Sponsored message
Audience-funded nonprofit news
radio tower icon laist logo
Next Up:
0:00
0:00
Subscribe
  • Listen Now Playing Listen
News

Trump announces new 25% tariff on all cars made outside the US

President Donald Trump,wearing a dark suit and red tie, is speaking at a desk in the Oval Office at the White House.
President Trump announces tariffs on auto imports in the Oval Office of the White House in Washington on Wednesday.
(
Mandel Ngan
/
AFP via Getty Images
)

Truth matters. Community matters. Your support makes both possible. LAist is one of the few places where news remains independent and free from political and corporate influence. Stand up for truth and for LAist. Make your year-end tax-deductible gift now.

President Donald Trump signed an executive order imposing 25% tariffs on imported cars Wednesday.

"I think our automobile business will flourish like it's never flourished before," Trump said in remarks from the Oval Office.

The latest policy is yet another example of the president's tariff-centric second-term economic agenda. Thus far, Trump has imposed tariffs on Chinese goods, steel and aluminum, and on some goods from Canada and Mexico. Trump also plans a wave of what he calls "reciprocal tariffs" to start April 2, which he has called "Liberation Day." The taxes on imports have caused plummeting stock markets and consumer confidence, and have left businesses and consumers uncertain about what they want to invest in.

The Trump administration has given multiple rationales for these tariffs, but they have emphasized boosting manufacturing as the chief goal.

More news

U.S. tariffs are paid to the government by businesses in the U.S. that are importing goods. Studies of tariffs imposed in Trump's first term have shown they were overwhelmingly paid by U.S. businesses and consumers. White House officials have said that foreign companies will lower their prices to compensate for tariffs, essentially eating the cost. However, when asked by NPR, the officials provided no data to support this.

Trump's tariff policy has been chaotic throughout this presidency. In addition to the tariffs already imposed, he has threatened still more tariffs on a range of goods from around the world, at times announcing a tariff only to then delay or retract it.

Sponsored message
Latest Trump Administration news

Earlier this week, Trump floated what he called a "secondary tariff" of 25% on goods from any country buying oil or gas from Venezuela.

The president has said he will also impose "reciprocal tariffs," which he has described as being equal to tariffs other countries impose on U.S. goods. However, the White House has given few specific details on what those reciprocal tariffs will look like. The latest automobile tariffs go into effect April 3 according to Trump.

Copyright 2025 NPR

You come to LAist because you want independent reporting and trustworthy local information. Our newsroom doesn’t answer to shareholders looking to turn a profit. Instead, we answer to you and our connected community. We are free to tell the full truth, to hold power to account without fear or favor, and to follow facts wherever they lead. Our only loyalty is to our audiences and our mission: to inform, engage, and strengthen our community.

Right now, LAist has lost $1.7M in annual funding due to Congress clawing back money already approved. The support we receive before year-end will determine how fully our newsroom can continue informing, serving, and strengthening Southern California.

If this story helped you today, please become a monthly member today to help sustain this mission. It just takes 1 minute to donate below.

Your tax-deductible donation keeps LAist independent and accessible to everyone.
Senior Vice President News, Editor in Chief

Make your tax-deductible year-end gift today

A row of graphics payment types: Visa, MasterCard, Apple Pay and PayPal, and  below a lock with Secure Payment text to the right