The American car manufacturers have machine-gunned the “big” provisional trade agreement from President Donald Trump with the United Kingdom
Ford, GM and Stallantis have complained that the “transaction”, which has not yet been officially agreed, will actually injure car manufacturers by putting them on competitive disadvantage with British companies.
Under the agreement, Great Britain can send a quota of 100,000 cars per year in the United States with 10% tariffs (amounts on this level will face 27.5% prices). Steel exports will be without a price.
American manufacturers have said that their vehicles produced in Canada and Mexico or products with parts from these countries or with the steel in these countries continue to cope with devastating prices of 25%.
“Under this agreement, it will now be cheaper to import a British vehicle with very little American content than a … vehicle in Mexico or Canada which is half American,” said the American Automotive Policy Councilwhich represents the three car manufacturers of Detroit. “It harms American car manufacturers, suppliers and car workers.”
The declaration also complained: “We are Disappointed that the administration prioritized the United Kingdom before our North American partners. We hope that this preferential access for British vehicles on North Americans does not establish a precedent for future negotiations with Asian and European competitors. »»
Ford, GM and Toyota have already predicted hundreds of billions of dollars in additional costs due to Trump's trade war. A large part of the costs will be paid by car manufacturers to cover prices on imported parts or steel will be transmitted to the American consumer.
The white house press secretary Karoline Leavitt told journalists that the British agreement is a “good deal” for us the car manufacturers, but did not explain how possible.
Donald Trump loves his “big, beautiful” provisional trade “with Great Britain. American car manufacturers do not (AP)
She insisted that Trump listens to the concerns of the automotive industry and wants to see them succeed.
“The president wants to put them on the best pedestal to compete,” said Leavitt. “It is also a good deal for them.”
Other criticisms have denounced the plan, stressing that beyond the exemption from Trump for British Steel, his price at 10% of interest remains on all other products in the world (and including Great Britain).
This means that American importers will have to continue to pay these samples and transmit some if not all the additional costs for American consumers, leaving them in a worse situation that Trump is in good luck.
