After a month’s reprieve, the U.S. auto industry is again facing the prospect of 25% tariffs on imports from Mexico and Canada, which would introduce additional costs into the highly integrated North American supply chain, according to The Wall Street Journal. President Donald Trump has stated that these tariffs are set to take effect on Tuesday. If fully applied to vehicles and car parts, the levies on Canada and Mexico represent the most immediate tariff scenario confronting the industry. Additionally, Trump plans to impose 25% tariffs on steel and aluminum imports, crucial materials in vehicle manufacturing, starting March 12. He has also proposed “reciprocal tariffs” to match other countries’ duties and sector-specific tariffs that would affect the auto industry. Tariffs on Chinese imports are also expected to increase. These tariffs will raise costs for both foreign- and U.S.-built vehicles, as domestic cars contain a significant amount of foreign parts and content. Analysts estimate that the tariffs on Mexico and Canada alone could add approximately $3,000 to the average U.S. car price. — news from Greater Baton Rouge Business Report