U.S. May Consider New National Security Tariffs on Auto Parts

The U.S. Department of Commerce announced on Tuesday that it will consider industry requests in the coming weeks to impose additional tariffs on imported auto parts based on national security concerns.

In May, President Trump imposed a 25% tariff on vehicles and auto parts imported annually at over $460 billion, though agreements have since been reached to reduce these tariffs for certain countries. The department stated on Monday that domestic manufacturers of automobiles or auto parts, as well as industry associations, can request tariffs on additional parts that impact national security.

The department added, “The automotive industry is experiencing rapid advancements in various technologies, including alternative propulsion systems, autonomous driving capabilities, and other emerging innovations.” It further noted that the industry requires “an opportunity to identify new and emerging automotive products critical to defense applications.”

Last month, the Commerce Department announced an expansion of steel and aluminum tariffs to cover more than 400 products—including numerous auto parts—totaling $240 billion in annual imports. These parts include automotive exhaust systems, electrical steel essential for electric vehicles, and components for buses.

On Tuesday, several groups, including the U.S. Chamber of Commerce and trade associations representing both domestic and foreign vehicle manufacturers and auto parts suppliers, urged the department to “avoid further unanticipated expansions.”

In a letter, the groups stated, “The recent tariff expansion was implemented without prior notice and has created unexpected costs, complexity, and uncertainty for U.S. businesses.”