Trump's Tariff Hike on Imported Cars: Global Backlash and Economic Concerns

U.S. President Donald Trump announced a 25% tariff on imported cars, sparking global reactions and concerns. Leaders from the EU, Canada, Japan, and beyond expressed worries over consumer impacts, economic disruptions, and trade tensions. The auto industry fears price hikes and supply chain disruptions as a result.

In a move set to intensify the global trade tensions, U.S. President Donald Trump declared a 25% tariff on imported cars and light trucks. This announcement has reverberated across nations, with immediate criticisms and concerns emerging from various global leaders and industry experts.

European Commission President Ursula von der Leyen labeled the decision detrimental for both businesses and consumers. Similar sentiments were echoed by Canadian Prime Minister Mark Carney, who expressed firm intentions to defend Canada's national interests. Meanwhile, Tesla CEO Elon Musk acknowledged potential price impacts on Tesla cars due to increased costs for imported parts.

The auto industry anticipates significant disruptions. Industry analysts warn of price hikes for vehicles and parts, while international supply chains face potential chaos. Amidst these tensions, leaders advocate for diplomatic solutions, urging talks to avoid an escalated trade conflict between key global economies.

(With inputs from agencies.)