On March 26, 2025, President Trump signed a proclamation invoking Section 232 of the Trade Expansion Act of 1962 to impose a 25% tariff on imports of automobiles and certain automobile parts, addressing a critical threat to U.S. national security.
The 25% tariff will be applied to imported passenger vehicles (sedans, SUVs, crossovers, minivans, cargo vans) and light trucks, as well as key auto parts (engines, transmissions, powertrain parts, and electrical components), with processes to expand tariffs on additional parts if necessary.
The proclamation stated importers of automobiles under the United States-Mexico-Canada Agreement (USMCA) will be given the opportunity to certify their U.S. content and systems will be implemented such that the 25% tariff will only apply to the value of their non-U.S. content. USMCA-compliant automobile parts will remain tariff-free until the Secretary of Commerce, in consultation with U.S. Customs and Border Protection (CBP), establishes a process to apply
tariffs to their non-U.S. content.
tariffs to their non-U.S. content.
The tariffs on automobiles will be effective from 12:01 a.m. ET on April 3.
The tariffs on automobile parts will be effective on the date specified in the Federal Register, but no later than May 3.
The HTS list for the products subject to the tariff has not yet been published
If you have any questions, please contact our Compliance Team or your JSC account supervisor.
