Trump’s prices in Canada and Mexico could harm car manufacturers

Almost all car manufacturers will feel a pinch of the new prices imposed by President Trump on Saturday on goods imported from Canada, Mexico and China.

Car manufacturers are sending tens of billions of dollars in cars, engines, transmissions and other finished components each week through American borders with Canada and Mexico. Billions of more dollars are imported from room manufacturers in China.

The prices, which will take effect at 12:01 pm Tuesday, should largely increase the prices that American consumers pay for new cars. And prices occur at a time when new cars and trucks are already sold at close prices.

General Motors, the largest American car manufacturer, will probably be the most affected.

GM produces many more vehicles in Mexico than any other manufacturer – more than 842,000 in 2024, according to Marklines, an automatic industry provider. And some of these vehicles are the most important in the company’s range.

All Chevrolet Equinox vehicles and Blazer Sport-Utility Vehicles GM in the United States come from Mexico. The Chevrolet Silverado van, a best-selling model and the similar GMC Sierra pick-up generates enormous benefits for the company. Of more than a million of these trucks built last year, almost half were produced in Canadian and Mexican plants, according to Marklines.

In total, GM factories in Canada and Mexico produced almost 40% of all the vehicles that the company made last year in North America, the region where it obtains most of its income and almost all its profits .