President Donald Trump's hair is ruffled by a breeze as he speaks to the media on the South Lawn of the White House in Washington, Wednesday, May 23, 2018, en route to a day trip to New York. Trump will hold a roundtable discussion on Long Island on illegal immigration and gang violence that the White House is calling a "national call to action for legislative policy changes." (AP Photo/Jacquelyn Martin)

Trump administration explores tariffs on autos, auto parts

May 23, 2018 - 11:07 pm

WASHINGTON (AP) — The Trump administration is exploring whether tariffs are needed on auto imports, a move that comes as trade talks with Canada and Mexico have stalled.

The U.S. and its partners remain far apart on rewriting the North American Free Trade Agreement, with the discussions at an impasse over rules for car production.

The initiation of the trade investigation President Donald Trump ordered on Wednesday could be seen as an attempt to gain leverage. Nearly half of vehicles sold in the U.S. are imported, many coming from assembly plants in Mexico and Canada.

Trump asked Commerce Secretary Wilbur Ross to consider whether auto and auto parts imports threaten U.S. national security. A little-used U.S. law authorizes the president to restrict imports and impose unlimited tariffs on national security grounds

AP Editorial Categories: