Donald Trump May Impose 25% Tariff On Foreign-Made Cars

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Gage Skidmore via Wikimedia Commons

The Washington Post reported Wednesday that despite the warnings that are coming from business leaders and fellow Republicans, several of the White House advisers still believe that Donald Trump, the President of the United States of America, is planning to impose a 25 percent tariff on approximately $200 billion foreign-made cars this year. The report cited three people who were brief in their discussions.

GOP members and business executives have said that this kind of move could potentially result in political chaos and may hurt the economy. However, Trump has become more defiant when it comes to his trade strategy, merely following his own intuition and instincts and avoiding advice from his inner circle. The Post reported that President Trump has urged the advisers to “simply trust his business acumen.”

In a tweet that was posted on Wednesday morning, the president underlined his business-first message.

He said in the tweet: “Every time I see a weak politician asking to stop Trade talks or the use of Tariffs to counter unfair Tariffs, I wonder, what can they be thinking?” he said. “Are we just going to continue and let our farmers and country get ripped off? Lost $817 Billion on Trade last year. No weakness!”

President Trump met with Jean-Claude Juncker, the President of the European Commission, on Wednesday afternoon to talk about trade negotiations. The European Union has already imposed $3.3 billion worth of tariffs on goods that are from the United States as a response to the decision that was made by the US President to impose a 25 and a 10 percent tariff on steel and aluminium that are coming from Europe.

Last Tuesday, Trump said that Juncker has come to talk with him over trade matters. He suggested that his hard-line stance had urged other world leaders to grant concessions. However, there is little evidence so far that this trade approach is actually working.