Trump Delays Truck Tariff: 25% Duty on Imported Trucks Starts November 1
Thank you for reading this post, don't forget to subscribe!US President Donald Trump announced on Monday that his administration is escalating its trade protectionism with a 25% tariff on all imported medium- and heavy-duty trucks, effective November 1.
This move is intended to shield domestic manufacturers, such as Peterbilt, Kenworth, and Freightliner, from what the President called “unfair outside competition.”
The initial October 1 deadline was postponed after industry executives voiced concerns over potential disruptions to costs, supply chains, and market competitiveness. The tariff is primarily aimed at major suppliers, particularly European automakers, but is also expected to significantly impact top exporters to the US, including Mexico, Canada, Japan, Germany, and Finland.
For countries like India, which does not export trucks to the US, the latest tariff offers a rare reprieve from the Washington’s widening trade measures, which already include duties as high as 50% on certain Indian goods.
US Truck Tariff Set to Disrupt Supply Chains and Hit Key Allies
President Donald Trump is moving forward with a major trade push, announcing a 25% tariff on all medium- and heavy-duty trucks imported into the US, beginning November 1.
The measure, initially set for October 1 but delayed after industry pushback, is designed to bolster American manufacturers by protecting them from foreign dumping and “unfair practices.”
The impact will be felt most by key US trade partners. The top five sources of imported trucks are Mexico, Canada, Japan, Germany, and Finland. The tariff is expected to heavily affect European automakers who supply commercial vehicles to the American market.
Of particular concern is the potential disruption to the USMCA agreement. Under USMCA rules, trucks move tariff-free if at least 64% of their value originates in North America. The new 25% duty could jeopardize this arrangement, leading to higher costs for automakers like Stellantis (which makes Ram trucks in Mexico) and potentially affecting Volvo’s new factory investment in Mexico. Industry analysts warn the ultimate result will be higher prices for US consumers.
TRUMP’S NEW TARIFF: 25% ON IMPORTED TRUCKS BEGINS NOV. 1
President Trump is doubling down on his “America First” trade agenda, announcing a 25% tariff on all medium- and heavy-duty trucks imported into the US, starting November 1.
The move is designed to protect American truck makers like Peterbilt and Freightliner. The tariff will hit major allies—especially Mexico and Canada—and disrupt existing USMCA agreements.
(P.S. India gets a pass on this one, since it doesn’t export trucks to the US).
