Although Donald Trump has paused the tariffs on vehicle imports from Mexico for a month, the automotive sector remains uncertain, as a large percentage of the production is exported to the United States.
To continue this exemption, automobile manufacturers would need to demonstrate their investment plans for automobile production in the United States, although they have asked for more certainty about tariff and environmental policies. Trump’s tariffs on this sector are set to go into effect in April; here are the brands that would be most affected.
Car Brands Most Affected by Trump’s Tariffs
According to the National Institute of Statistics and Geography (Inegi) of Mexico, the brand most affected by the tariffs imposed by President Donald Trump is Toyota, which exports 93% of its production to the United States. It is followed by Honda, Ford, and General Motors.
READ ALSO These are the new drinks that Chick-fil-A added to its menu
The most affected models would be the following:
- Chevrolet Equinox: 219,071 vehicles exported to the United States in 2024.
- Toyota Tacoma: 213,091 vehicles exported to the United States in 2024.
- Honda HR-V: 166,156 units exported to the United States in 2024.
How Would Tariffs Affect the Automotive Industry?
Currently, Mexico contributes nearly 18% of total car sales in the United States, surpassing countries like South Korea, Japan, and Germany. Donald Trump’s tariffs will increase vehicle costs, forcing production chains to adjust.
The United States is the largest buyer of vehicles assembled in Mexico, especially SUVs and trucks, due to strong demand in its market and the limited production capacity to meet it. Therefore, it heavily depends on importing cars manufactured in Mexican territory.
According to Inegi, in 2024, exports of vehicles made in Mexico reached 3,479,086 units, of which 79.7 percent were exported to the United States.
In the first half of 2024, Ford shipped about 196,000 cars to North America, 90% of which were directed to the United States. In 2023, Audi manufactured approximately 176,000 vehicles, and of these, 40,000 were exported to the United States during the first half of 2024.
On the other hand, BMW exported almost all of its Series 3 and Series 2 Coupe vehicles assembled at its San Luis Potosi plant to the United States that same year.
According to specialists, the imposition of tariffs on Mexico and Canada will primarily affect U.S. buyers, who will face an increase in vehicle prices. According to the National Auto Parts Industry (INA), the price of each car affected by a 25% tax could rise by approximately $2,414.
What Car Models Does Mexico Export to the United States?
Currently, the main car models that Mexico exports to the United States are:
- GM Equinox EV
- Toyota Tacoma
- Nissan Sentra
- Honda HR-V
- Ford Maverick
What Are Tariffs?
Customs tariffs are taxes applied to the importation of goods. Their purpose is to provide a competitive price advantage to domestic products over imported ones, in addition to representing a source of income for governments.
Why Does Donald Trump Want to Impose Tariffs on Mexico?
Even before taking office, President Donald Trump had insisted on imposing more tariffs on products entering the country from Mexico, Canada, and China.
In the case of Mexico and Canada, the 25% tariff is a retaliation for their failure to take measures to stop illegal immigration to the United States. For China, the tariffs will be 20% due to the illegal fentanyl it provides to be distributed in U.S. territory.
