The auto industry is asking the Trump administration to lower or delay the proposed tariffs on imported auto parts, saying the levies will lead to higher costs for consumers and could put some parts makers out of business.
The plea came in a letter released Tuesday to Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamieson Greer.
It was signed by six trade groups who represent parts manufacturers, carmakers and car dealers: the Alliance for Automotive Innovation, the American Automotive Policy Council, the American International Automobile Dealers Association, the Vehicle Suppliers Association, Autos Drive America and the National Automobile Dealers Association.
“Tariffs on auto parts will scramble the global automotive supply chain and set off a domino effect that will lead to higher auto prices for consumers, lower sales at dealerships and will make servicing and repairing vehicles both more expensive and less predictable,” the letter said. “Most auto suppliers are not capitalized for an abrupt tariff induced disruption. Many are already in distress and will face production stoppages, layoffs and bankruptcy.”
