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Toyota Warns Trump That Tariffs Would Raise Cost of Every Car in America

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Toyota has lent its voice to the criticism in response to President Donald Trump’s claim that he would place a 20 percent tariff on all cars coming into the US. This follows Trump’s order to the Department of Commerce to investigate whether car imports were a threat to national security.

“A hundred and thirty-seven thousand Americans support their families working for Toyota, and Toyota and Lexus dealerships,” Toyota said. “They are not a national security threat. Indeed, Toyota operates 10 manufacturing plants in the US. We are an exemplar of the manufacturing might of America.”

Toyota also added that a tariff on automotive imports, which it called a tax on consumers, would do little more than simply raise the cost of every vehicle in the country. The Toyota Camry, the company said, would see its price go up $1,800, despite the fact that it is made in Georgetown, Kentucky (and the best-selling car in America).


Related: Discover Toyota’s American-made 2018 lineup


“We believe the only plausible outcome of this investigation is to reject the notion that automotive imports threaten national security,” Toyota concluded.

Even though the Camry is one of the most American-made cars in the country, the reason it and every other vehicle built and sold in the United States would experience a price hike is because all of them use at least some parts sourced from other countries.

The Association of Global Automakers condemned the Section 232 investigation — the same type of probe that Trump used to justify aluminum and steel tariffs — and called it “the greatest threat to the US automotive industry at this time.”


Related: Toyota to open automated vehicle test facility in Michigan