Trump says US auto tariffs to be around 25%

(FILES) Cars make their way in traffic on a Los Angeles freeway on January 25, 2024. – Retail sales in the US soared past analyst expectations in July, according to data released on August 15, 2024, by the Department of Commerce, helped by the autos segment and bringing some relief to policymakers. (Photo by Frederic J. BROWN / AFP)

President Donald Trump said Tuesday that US tariffs on imported cars would be around 25 percent, providing new information on duties he is expected to unveil around April 2.

“It’ll be in the neighborhood of 25 percent,” Trump told reporters in Mar-a-Lago, while noting that the specifics would come in April.

Asked also about tariffs he has floated on sectors like pharmaceuticals, Trump added: “It’ll be 25 percent and higher, and it’ll go very substantially higher over (the) course of a year.”

READ: Trump signs plan for reciprocal tariffs on US trading partners

He said that he wanted to give companies time to enter the US market.

On Tuesday, he said that he has been contacted by major companies, who “want to come back into the United States” given Washington’s stance on tariffs and tax incentives.

Trump has announced a range of levies since taking office in January, threatening to hit allies and adversaries alike.

He has not provided many details on the planned auto tariffs or those affecting other sectors like semiconductors and pharmaceuticals.

Experts have warned it is often Americans who end up paying the cost of tariffs on US imports, rather than foreign exporters.

About 50 percent of the cars sold in the United States are manufactured within the country. Among imports, about half come from Mexico and Canada and the other half from other major auto-producing countries.