The Motor & Equipment Manufacturers Association has heralded U.S President Donald Trump’s decision not to impose tariffs on all goods coming from Mexico into the United States.
“We are pleased that he heard the motor vehicle parts supplier industry, which represents the largest sector of manufacturing jobs in the U.S., and that he agreed that tariffs would hurt American businesses and consumers,” reads a statement from MEMA.
“Our industry depends on a vibrant and health North American supply chain, and Mexico is a critical trading partner. In 2018, two-way trade with Mexico in auto parts totaled $93 billion – or $255 million worth of goods a day. It is critical that confidence and stability in this supply chain remain in place,” the MEMA release states.
“MEMA strongly urges the Trump administration to put the threat of these and other tariffs aside and return to working with Congress to ratify the United States-Mexico-Canada Agreement (USMCA).”
Bill Hanvey, president and CEO of the U.S.-based Auto Care Association, also expressed relief at the news that new tariffs would not be imposed on imports from Mexico.
“Mexico is the United States’ largest trading partner when it comes to auto parts, with more than $55 billion imported in 2017,” he said. “U.S. companies benefit from having largely duty-free access to Mexico’s labor market for certain important steps along the supply chain. A new tariff would have resulted in higher prices for U.S. consumers and job losses for U.S. businesses. The association will continue to work with the administration and Congress on ensuring long-term, open access to U.S. trading partners like Mexico.”