Trump threatens 25% tariff on any country that buys Venezuelan oil
U.S. President Donald Trump announced that he will implement a 25% tariff on all imports from countries that purchase oil from Venezuela.
unbranded – Newsworthy
WASHINGTON − President Donald Trump is set to announce automobile tariffs on Wednesday afternoon in the Oval Office, as stated by White House press secretary Karoline Leavitt. This move continues his unpredictable economic strategy that has unsettled markets and sparked a global trade conflict.
Leavitt did not share specifics regarding the auto tariffs. Trump hinted at a possible 25% tariff on imported vehicles back in February. It remains unclear if there will be exceptions for cars included in the U.S.-Canada-Mexico Agreement, the regional trade deal Trump negotiated during his initial term.
“I will leave that to him to make that announcement later,” Leavitt remarked about the 4 p.m. EDT press event.
Trump’s announcement precedes his anticipated reciprocal tariffs, scheduled to take effect on April 2, which will impose tariffs of equal percentage on U.S. exports based on any nation’s tariffs against U.S. imports. Trump has dubbed April 2 as “liberation day in America.”
The U.S. imported $474 billion worth of automotive goods in 2024, including $220 billion in passenger vehicles. Mexico, Japan, South Korea, Canada, and Germany were the largest suppliers and are all considered close U.S. allies.
Industry experts and former U.S. officials anticipate that the administration will utilize an investigation Trump initiated during his initial term to justify the new tariffs.
Shares of U.S.-listed automotive companies dropped following news of the press conference. Trump’s assertive use of tariffs during his second term has fueled concerns on Wall Street and raised consumer fears regarding potential price hikes. Economists warn that tariffs, essentially taxes on imports, are commonly passed along from companies to consumers.
On Monday, Trump declared intentions to impose a 25% tariff on goods from any nation buying oil or gasoline from Venezuela, targeting the South American country for reportedly sending criminals into the United States “intentionally and deceitfully.”
Reuters contributed to this report.
