US President Donald Trump said on Saturday that he “couldn’t care less” if automakers raise car prices for Americans after he imposed a 25 per cent tariff on all foreign-made cars.
There have been reports that he warned auto executives of consequences if prices go up, but Trump, in an interview with NBC News, told that higher prices would benefit US-based manufacturers.
“I couldn’t care less. I hope they raise their prices, because if they do, people are gonna buy American-made cars. We have plenty,” he told NBC host Kristen Welker.
On Thursday, Trump announced a 25 per cent tariff on all imported cars and light trucks, starting April 3.
Car parts from countries covered under the US trade pact with Mexico and Canada will have a delay in tariffs while officials work on supply chain adjustments.
Automakers have been reluctant to move production to the US due to the high costs and time needed to build factories, hire workers, and reorganize supply chains. Additionally, Trump’s shifting tariff policies make auto executives uncertain about his long-term commitment to these measures, a CNN report said.
Trump said the tariff would remain in place to increase US production and support the American auto industry.
“Absolutely, they’re permanent, sure. The world has been ripping off the United States for the last 40 years and more. And all we’re doing is being fair, and frankly, I’m being very generous,” Trump said.
Even though Trump supports the move, stock prices of major US automakers have dropped, and experts have said price increases will impact American consumers.
When asked by NBC News about his message to concerned auto executives, Trump said: “The message is ‘congratulations.'”
He added, “The message is congratulations, if you make your car in the United States, you’re going to make a lot of money. If you don’t, you’re going to have to probably come to the United States, because if you make your car in the United States, there is no tariff.”