Former US President Donald Trump is threatening to impose 100% tariffs on all vehicles made in Mexico by Chinese companies that cross the border if he is re-elected in November, according to reports Bloomberg.
During a rally speech in Dayton, Ohio, last Saturday, the Republican candidate directly attacked Chinese President Xi Jinping, warning him that his “big monstrous assembly plants that you are building in Mexico” will not allow not sell vehicles to American consumers.
Earlier in March, Trump raised the idea of tariffs of 50% on Chinese vehicles and up to 60% on all other products from China, saying he did not fear retaliation. By now mentioning 100%, he is aiming for a whole new level of protectionism.
In his most recent speech, Trump also used the expression “bloodbath” to describe the harm that the Biden administration’s laxity with regard to the Chinese threat would do to the American economy.
Photo: Antoine Joubert
Remember that the Chinese manufacturer BYD (Build Your Dreams) plans to build a factory in Mexico. The news will be confirmed later in 2024. The aim is to mainly serve the Mexican market.
As we reported in late February, BYD Executive Vice President Stella Li denied rumors of a U.S. push during an interview with Yahoo Finance, calling the U.S. market ” too complicated when it comes to electric vehicles” among other things because of the Inflation Reduction Act (IRA).
Li said the United States and the rest of the auto industry are “a little too afraid of Chinese competition.”
