President Trump threatens to slap taxes on cars coming from Mexico.
An employee installs the rear passenger door on a test frame for a Volkswagen AG Tiguan compact sport utility vehicle inside the company's production plant in Puebla, Mexico, on Oct. 13, 2016.Get breaking news alerts and special reports. The news and stories that matter, delivered weekday mornings.
Acknowledging that the auto industry represented"massive numbers," Trump said Thursday,"The cars are very big. We’re going to tax the cars. And if that doesn’t work, we’re going to close the border." Last week, Trump threatened to close the U.S. border with Mexico in order to order to stem the influx of migrants from Central America. A complete shutdown would disrupt billions of dollars in annual trade, including $137 billion of food imports and $59.4 billion worth of auto parts.
Levying tariffs has become a frequent negotiating tactic for Trump, who has slapped additional taxes on a series of items including solar panels, washing machines, steel, aluminum, and a variety of crops as part of a campaign promise to prioritize American-made goods.
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