Trump pauses tariffs on Canada and Mexico. Here's why it matters to automakers
The auto industry has built a North American supply chain that ping-pongs parts between the U.S., Mexico and Canada. Tariffs of 25%, if actually imposed, would be costly for buyers and the industry.
![Trump pauses tariffs on Canada and Mexico. Here's why it matters to automakers](https://npr.brightspotcdn.com/dims3/default/strip/false/crop/4000x2250+0+209/resize/1400/quality/100/format/jpeg/?url=http%3A%2F%2Fnpr-brightspot.s3.amazonaws.com%2Ff3%2F0f%2F78529d824ac1807691703bc814a6%2Fgettyimages-2196945346.jpg)
![A car hauler carries Toyota RAV4 vehicles as it enters to cross the Ambassador Bridge in Windsor, Ontario to go to Detroit, Michigan on February 3.](https://npr.brightspotcdn.com/dims3/default/strip/false/crop/4000x2667+0+0/resize/4000x2667!/?url=http%3A%2F%2Fnpr-brightspot.s3.amazonaws.com%2Ff3%2F0f%2F78529d824ac1807691703bc814a6%2Fgettyimages-2196945346.jpg)
The auto industry has built a North American supply chain that ping-pongs parts between the U.S., Mexico and Canada. Tariffs of 25%, if actually imposed, would be costly for buyers and the industry.
(Image credit: JEFF KOWALSKY)