It is difficult for auto dealers to comprehend what is happening with Trump’s tariffs
US President Donald Trump on Friday said that his tariffs on $267 billion of Chinese imports will be suspended for a month. He added, “I’ve been very busy and I don’t know how long I’ll be busy.” The US is also planning to impose tariffs on an additional $200 billion of Chinese products from May 1 for a total of $450 billion.
Trump has lost the trade war with China
UBS has warned the US-China trade war may deal a further blow to China’s property sector, which has been showing signs of stabilization. It added that US tariffs “may reduce China’s external demand sharply and add downward pressures to domestic prices” in China. UBS has downgraded China’s 2025 growth forecast to 3.4%, assuming current tariff hikes remain and China rolls out additional stimulus.
The auto industry has been negatively affected by Trump’s tariffs
A CBS News poll found a majority of Americans think US President Donald Trump is focusing too much attention on tariffs and not enough on lowering prices. Inflation has fallen, but consumer prices are likely to go up even more as tariffs take effect. The poll also found that people across the political spectrum said they’re worried about their personal finances, unemployment and inflation.