Though U.S. President Donald Trump has repeatedly expressed confidence that his 25-percent tariffs against vehicles made outside the U.S. will result in a major shift to American production, automakers allegedly say they don’t plan to move production facilities currently located in Mexico.
Claudia Sheinbaum, president of Mexico, said she has “personally spoken with many of the CEOs and global managers of several of the auto companies to find out what they are thinking about the future,” Reuters reports.
Sheinbaum went on to say that “most of [the CEOs] have told us that they do not plan to change anything at this time” before remarking that Mexico probably won’t slap retaliatory tariffs on the United States. She left the possibility open, but Mexico’s approach thus far differs from that of Canada, which recently put 25-percent tit-for-tat tariffs on U.S.-produced vehicles. Notably, there seems to be no independent confirmation of Sheinbaum’s assertions from the automakers themselves at this point.
The tariffs imposed by Trump on Mexico include 25-percent duties not only on automobiles but on steel and aluminum, along with some other goods. However, there is no universal tariff on Mexican imports, unlike the tariffs Trump applied to most of the rest of the world, including a 10-percent duty on war-torn Ukraine.
GM, like other automakers, will likely be significantly impacted by the Trump tariffs on the United States’ northern and southern neighbors. The General operates three assembly plants in Mexico, including the GM Ramos Arizpe plant that builds several of the company’s crossover nameplates. These include the Chevy Blazer, the Chevy Blazer EV, the Chevy Equinox EV, the Cadillac Optiq and the Honda Prologue.
A second factory, the GM San Luis Potosà plant, builds the Chevy Equinox and the GMC Terrain. Finally, the GM Silao plant produces two popular pickup models, specifically the Chevy Silverado 1500 and the GMC Sierra 1500 trucks.
Possibly somewhat contradicting Sheinbaum’s assertions, GM says it is increasing Chevy Silverado and GMC Sierra production at the GM Fort Wayne assembly plant in Indiana with the likely hiring of several hundred temporary workers coming soon.
Comments
They shouldn’t. Trump changes his mind hourly, to keep his face in the spotlight at all times.
Then you will have no option, we want our jobs back to america or else.
and that’s not a threat, that’s a reminder.
If we bomb your cartels, then your economy will stabilize and you’ll need domestic auto production anyways. As it is, the 3rd largest country in the western hemisphere currently buys less cars than Canada, one of the least populated. Regardless, US production will be communist stateside.
Coming, not communist.
And they aren’t going to. 1.5 years until the left takes back the house and senate and reigns this fascist in eliminating the tariffs. Maybe 2 more years before an artery kills him, or 3.5 years until the end of his regime. It’ll take several years for the plants to be moved to the US. It’s not worth changing anything.
Wishful thinking. Any idiot Democrat that wants to dial back tariffs will have to explain- especially to the unions that supported them- why they support moving even more American jobs overseas.
BTW don’t worry about Trumps health. If anyone were to drop dead from a coronary it was the last POS we had in office with his sedate beach bum and ice cream sucking lifestyle.
Well Tigger, seems like the UAW supported Dump in the last election……
Your Dump is on his way to causing a recession, if not worse.
Joe was a whole lot better than your orange king POS, and his golf trips every weekend, while cheating with his millionaire golf buddies.
Have another swig of that orange kool-aide, while reading your Chinese printed Dump Bible. Have your golden tennies on and your MAGAt cap?
The UAW supported Kooky Kamala in the last election. The reason why the automakers are so messed up right now it’s because of dementia’s Joe’s virtue signaling and heavy-handed regulations that added $10,000 to the price of a new car during that idiots term
Come on what a MAGAt response, $10,000 added to the price of a new car, where is the proof of a stupid statement like that. I could be wrong on the election and who supported who in the last election, but just last week the head of the UAW supports Dump’s idiotic tariffs, and for the $10,000 added to a vehicle, that would be the 10 grand added to a vehicle manufactured in Mexico or Canada. If you want heavy handed, look at Dump’s tariffs, the idiot even laid a 10% tariff on penguins on an uninhabited island in the Pacific. Today China has said it will no longer ship rare earth minerals to the US, minerals that are needed to produce anything that has a chip in it.(account of Dumps tariffs) Now THAT will add more costs. If you want to talk dementia, Don the Con has been has had it for years.
@GMguy Rare earth minerals are not rare. They can be found many other places in the world.
We should actually thank China for this as they are doing us a favor. They are showing the world they cannot be trusted as a trading partner when they can just cut off supplies on a whim. Nobody else is doing this. The world will finally see the real China.
I said it over and over. The day open season starts for Taiwan with all the loonies crying over Ukraine labeling Russia as the aggressor (and they rightfully are) I want to see how they will react to China once they start coercing anyone that has anything to say about their actions.
@GMguy Oh BTW. As per a Fortune article I just came across, China has stopped exporting rare earths to everyone, not just the U.S., I don’t know why they decided to do this with everyone else but to give you an idea of how dumb we, the US, and other developed nations upholding human rights, have been to allow them full control of anything vital.
And BTW, we also get most of our antibiotics from them and they have very much threatened to choke this off too from many countries us included during the pandemic. I was literally horrified when I read that. HORRIFIED. So if you don’t think there are national security implications of allowing the status quo to continue as is, you are sadly mistaken. No self-interested aggressor adversary should have the ability to control your vital medical supplies.
Thank you.
No the democrats are the only sensible ones here. Tariffs don’t bring back manufacturing jobs and everyone knows that except Trump. In fact, tariffs would COST American manufacturing jobs because the companies would go offline and shut down operations because they cannot sustain the weight of build manufacturing facilities here.
WTF???? If I have to hear from another single Democrat how we need to be more like the Scandinavian countries, I’m going to blow a gasket! Scandinavian countries
-have very large tarrifs
-privatized social security
-strict immigration
-blue collar jobs (mining and energy)
Here’s the guy who will make America like Sweden/Norway. $uck it up and be happy.
To build manufacturing facilities across multiple different industries it would take several billions of dollars to accomplish but all the necessary facility components are most likely imported as well. The cost to move ALL of manufacturing back to the US would be so enormous that the companies would have to pass the cost back onto the consumer to recoup their investment. And now we’re back at square one: the enormous cost of everything. It’s going to be incredibly expensive to do either when instead we should be talking about what Mr. Trump is doing is illegal.
Steve, you are an old guy according to your previous postings. And it shows in your comments. Maybe older than the POTUS. And unlike him you do not have an army of doctors to keep you alive. On top of that you might need your social security check and your Medicare support which are not taken for granted anymore. So, please do not blow a gasket! And stop hating 50% of the USA population.
Tariffs (if done properly) combined with incentives can work. Trump issued initial tariffs and Biden built upon them but also incentivized to build chip plants in the US and it worked (I work as a consultant engineer and my company has seen a surge in manufacturing facilities from international and domestic manufacturers).
What Trump needs to do is also incentivize US manufacturing. Maybe less of our tax dollars to Ukraine and more money into incentivizing domestic manufacturing. He can also incentivize by allowing consumers to claim the interest paid on car payments if you purchased a US built car which he is toying with the idea. My tax dollars should be used for this reason. The rest, better infrastructure and better schools, come with the improved communities from job creation.
Get rid of these manage trade agreements.
You may want to check the 2026 Senate Map and get back to us on that one.
Trump still makes his phony bibles, gaudy shoes and cheap clothing line in CHI_____NA!
Don, including those gaudy MAGAt caps. No more tossing the ugly things to the MAGAts, he will probably start charging for them. When the Dump recession hits account his stupid tariffs, sales of vehicles will take a nosedive. One economist says his idiotic tariffs could end up causing a worldwide depression. Hopefully that will not happen, makes me wonder how much Mary will be making if that happens……
Don’t worry, “Mary” will get hers no matter what happens to the company.
Could we talk more about GM topics and less about politics?!
Good, then just pay the tariffs. Perhaps raising them higher will get the automakers’ attention.
The reason AMERICA has lost its manufacturing base is because of people just like trump, chasing the bottom line without regard for anyone (except share holders) or anything. The quagmire is we want the greatest return on investment for our pensions and 401k’s which pushes production off shore. In some instances we are our own worst enemies.
Let us all remember that it was the orange king that negotiated the last Mexico/Canada/United States free trade agreement during his first disastrous administration, and at the time called it the GREATEST agreement ever. Now the idiot is again changing his mind, and slaps tariffs on our neighbors. SO, which is it, the greatest agreement ever or the worst? Let Dementia Don the con tell us.
The “disastrous administration” that had record low minority unemployment, record middle class income, 500k mfg jobs, and energy independence, or Q3 2020 GDP the highest ever recorded?
Hey Winnie the Pooh I mean Tigger there are plenty of idiots on booth sides.
I agree Christopher Robin.
If a recession or even a great depression, hit tomorrow, the MAGAts would claim victory and say we have the world right where we want them. You cannot debate or have a spirited conversation with idiots.
No Don, you and the other libs are the idiots. Have you looked at a 5 year stock chart? No, you haven’t. Did you complain when the market fell 40% overnight after poopy pants won in 2020? No, you didn’t.
Let’s get the facts straight, it is the “orange” convict who wears the diapers. Melania has stated she thinks it’s wonderful cause he can ‘toilet” by himself now.
Again, I’m still waiting for someone to explain to me why other countries can put tariffs on U.S.-made goods but the U.S. can’t put tariffs on other countries’ goods.
Or why Biden can do it but not Trump.
I love it when idiots try so desperately to sound intelligent with their manufactured narrative to support their weak position. I do not know what kind of math is being used but the stock market did not fall 40% at the end of 2020. Yes, I do track the stock market. I retired at 54 which was 18 years ago and no, I am not a Lib. Based on your comments Les I am surprised you can read it all! Who ties your shoes in the morning?
I can tie my shoes AND do simple internet research that YOU refuse to do.
FACT: the DOW fell 34% overnight after the 2020 election. Most retirement funds that are largely dow-invested fell on average of 40%. A simple chart research shows this.
You should stop posting on this topic.
Les, stop doing meaningless researches on what happened in 2020. Look at your investments right now. I was gaining on average 20% on US Equity funds under the previous administration. Right now I would need some inside info like Penske or MTG to make up for the losses. And the worst part is that with so much uncertainty on the market, people are losing their lifetime savings.
Sounds like a lot of people have a lot of time on their hands to discuss politics..
GMguy.. your NO gm guy, hell, you probably don’t even own a gm product.
Be American and support US automotive companies. we only have three left..
Tariffs are not going to eliminate jobs or US companies. purchasing foreign made goods only supports slave labor and all other atrocities taking place in the world.
A level playing field is something that the left has been preaching for many years but too gun shy to take on.. we now have a leader that fears no one and is willing to put his life on the line to make things happen for the betterment of all of us Americans.
Wake up, smell the coffee and fight for what’s right!
TRADE BALANCE is RIGHT!
Some of us actually work is globally supply chain and manufacturing and have economic degrees so I think it’s important to listen to experts on the matter.
Every economist and CEO KNOWS that this is going to be incredibly expensive and will cost Americans jobs. They’ve literally already started layoffs. Even non-American brands are starting to pause shipments here.
Please stop speaking on things you clearly know very little about.
And offshoring production and engineering/design does not cost American jobs?
With at least 12 more years of conservatives in charge, they may want to re think that!
The plants will never move. It is cheaper and safer to keep them in Mexico than to spend billions to move them. And it four years the next President will remove those tariffs.
Not going to happen. Any president that removes tariffs will have to explain why the support moving US jobs overseas.
Les I do plenty of Internet research and I do plenty of real life research. That’s why I was able to retire at 54, 18 years ago. I don’t know what Internet you’re on, but there’s no way in hell the stock market crashed 40% in November 2020 there was a brief loss of 40% of gains that year, which is not the same as a 40% crash and no, I will not quit posting on this platform it is fun to torment knuckle dragging imbeciles like you. Do you know what a portfolio is?
Sethal, Don’t you have somewhere to be.. your economics degree apparently doesn’t even buy you common sense!
I will gladly pay more to help provide people with a decent standard of living while supporting fellow Americans.
Keep buying your Kia’s, Toyota’s and Nissan’s.
Support the Chinese buying land next to military installations in America.. I won’t.
BTW, So called gm owner.. Vance or any other republican we can look forward to in the next election will definitely not allow us to be taken advantage of any longer!
People questioning this should just look at what the Chinese are doing to MG and Lotus/Polestar. They have moved ALL of their manufacturing to China (with exception to some Volvos like the EX90 which is built in the US tanks to tariffs). The Emira is the only model still built in Britain but it will be the last as Lotus is going all-EV and they will all come from China. SAIC (state-owned) and Geely (party member owned) have taken over these brands, mostly for the badges, and shifted all of the British production to China. The only thing left in Britain is the design studios.