Alliance Statement on U.S. Department of Commerce report on whether vehicle imports pose a national security risk to the United States


“Tariffs are a tax on our customers, and would mean that Americans shopping for a new car would see the prices of many new vehicles increase. Imposing tariffs on imported vehicles and parts would be a mistake, with significant negative consequences for the U.S. auto industry, our employees. American consumers would also see an increase in the prices of many new cars and trucks by thousands of dollars, which would ultimately lead to the loss of hundreds of thousands of U.S. jobs.

“Supporting more than 7 million jobs nationwide, domestic and international automakers build vehicles in 45 facilities across 14 states. We understand the desire to achieve a level playing field in international trade, but tariffs are the wrong approach. We urge the Administration to not impose auto tariffs but rather, improve our national economic security by concluding trade pacts with key partners such as the E.U., Japan, and the U.K., and exploring additional market access opportunities for U.S. auto exports.

“The financial burden of this action will not just be felt by new car buyers. By forcing families out of the new car market, tariffs will drive up demand for used cars, resulting in higher prices. Finally, tariffs on imported auto parts will significantly increase repair and maintenance costs for everyone.

“In addition to burdening our customers, tariffs seriously jeopardize the vitality of our nation’s auto sector. Increased prices drive down vehicle demand, which leads to lower production and ultimately job losses — as many as 700,000 jobs with widespread impact across manufacturing, suppliers, and dealers across all 50 states. This move also invites retaliation from our trading partners, which will spread the economic pain across other sectors throughout America, including agriculture.”