Former U.S. President Donald Trump’s 25% tariff on imported vehicles has triggered a global backlash, with Germany and Japan warning of economic retaliation. Automakers' stocks plummeted, and trade tensions escalated as allies criticized the move. Experts warn of supply chain disruptions and rising consumer costs amid mounting global uncertainty.
The global trade landscape is in turmoil as former U.S. President Donald Trump imposed a 25% tariff on imported vehicles and auto parts, sparking international backlash. Major economic players, including Germany and Japan, condemned the move, warning of possible retaliation.
Stock markets tumbled across Asia and Europe, with automakers such as Toyota, Hyundai, and Mercedes experiencing significant losses. The tariff, set to take effect on April 3, aims to bolster American manufacturing but has escalated concerns over supply chain disruptions and rising vehicle prices.
Trump defended the decision, accusing foreign manufacturers of exploiting American markets while reserving high-value production for their own countries. However, the policy faced domestic opposition, with Tesla CEO Elon Musk warning that increased costs could impact consumers.
International leaders swiftly responded. Canada’s Prime Minister called an emergency meeting to assess potential countermeasures, while French officials labeled the tariffs “hostile.” Trump further threatened additional levies on nations retaliating against the policy.
As trade tensions escalate, analysts warn that these aggressive tariffs could strain U.S. relations with key allies, disrupt global markets, and lead to higher consumer costs worldwide.
