Following President Trump's comments earlier in the week that he would detail the scale of auto levies in the coming days, Bloomberg reports that - citing the usual people familiar with the matter - the Trump administration is readying an announcement on auto tariffs as soon as today.
Bloomberg adds that the people shared the timing of the expected announcement on condition of anonymity, to discuss plans not yet made public.
One of the people, though, cautioned that the president’s plans could still shift.
This is a move that would escalate Trump's fight with global trading partners ahead of a broader tariff push next week.
The broad market was already lower but accelerated on the report...
Treasury yields also sank...
The president has said the levies will help spur growth in the domestic auto sector and force companies to move more production to the US.
The move risks disrupting operations for North American automakers, who rely on highly integrated chains across the US, Mexico and Canada; and Ford and GM shares are falling on the report.
Minutes after Bloomberg's report, the following headlines hit:
*GM CEO MARY BARRA TO MEET TRUMP ADMIN. OVER TARIFFS: FREE PRESS
*FORD CHAIR BILL FORD TO MEET TRUMP ADMIN THIS WEEK: FREE PRESS
The level and scope of the auto tariffs are not clear, including what, if any, exemptions would be included or considered. It’s also unclear if the tariffs would go into effect immediately or over time.
