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  September 4th, 2018 | Written by

Coalition launches campaign to oppose Section 232 auto tariffs

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  • Higher auto tariffs will result in less capital for investments in innovating automotive technologies.
  • New tariffs on imported vehicles and parts represent a significant threat to the US economy.
  • New tariffs on imported vehicles and parts represent threat to jobs growth.

The Driving American Jobs Coalition, a group representing the United States’ leading auto manufacturers, parts suppliers, auto dealers, parts distributors, retailers, and vehicle service providers, announced today the formation of a new coalition to oppose potential new tariffs on imported automobiles and motor vehicle parts.

The coalition will inform policymakers and stakeholders on the negative effects of imposing new auto tariffs, including massive job losses and significant consumer price increases for virtually all motor vehicles and parts, whether domestic or imported.  Higher auto tariffs will also result in less capital for investments in innovation and less competition in promoting cutting-edge automotive technologies developed here at home.

At a time of unprecedented growth, new tariffs on imported vehicles and parts represent a significant threat to our economy and the tremendous job growth that has occurred since the president took office.

That is why the American Automotive Policy Council, the Auto Care Association, the American International Automobile Dealers Association, the Alliance of Automobile Manufacturers, the Association of Global Automakers, the Motor & Equipment Manufacturers Association, the National Automobile Dealers Association, and the Specialty Equipment Market Association have joined this unprecedented, industry-wide effort through Driving American Jobs. The group replaces a prior coalition of the same name formed to address other trade issues.

“Tariffs are particularly harmful to the auto industry because they will result in job losses that will be felt across the entire supply chain,” said Bill Hanvey, President and CEO of the Auto Care Association. “Prices for vehicles, parts, and repairs would go up, hurting consumers, and American jobs would disappear.”

“Under these proposed tariffs, autos of all brands would go up in price by as much as $6,900, a cost that would hit not only consumers but also the auto dealers and dealership employees who sell and service the vehicles,” said American International Automobile Dealers Association President & CEO Cody Lusk. “The resulting loss in auto and auto parts sales, dealership employment, and facility investment would be devastating for the communities that rely on these small businesses to drive their economies.”

“There is no national security justification for taxing vehicle and auto parts imports,” said John Bozzella, President and CEO of the Association of Global Automakers.