Tariffs and Trade
Tariffs & Trade Impacting the Automotive Aftermarket Latest News
The Auto Care Association is actively monitoring this evolving situation and will provide updates as new information emerges. Check this page regularly for the latest developments.
Has your business been impacted by Tariffs?
We welcome your feedback to help us better understand and assess the impact of these tariffs on our industry and businesses. Please share with us by contacting Angela Chiang, director, international affairs, at angela.chiang@autocare.org.
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Current Status
Effective March 7, 2025, imports from Canada and Mexico that meet USMCA rules of origin are exempt from the additional IEEPA duties. Imports that do not satisfy USMCA rules of origin are subject to a 25% tariff rate. Energy products from Canada and potash from Mexico and Canada are subject to a reduced tariff rate of 10%.
Effective March 4, 2025, imports from China are subject to a 20% tariff rate, an increase from a 10% tariff rate that went into effect on Feb. 4, 2025.
Note that many products imported from Canada and Mexico were already duty-free under MFN rates, making USMCA declarations unnecessary. Under the new policy, importers must document and ensure USMCA compliance (if eligible) to be exempt from the IEEPA tariffs. Otherwise, the 25% IEEPA tariff would apply.
Current Status
The Section 301 China tariffs implemented in 2018-2019 remain in effect, with most tariff rates unchanged since their initial implementation. While some product exclusions have been extended, the majority have expired, except for a limited set scheduled to expire on May 31, 2025.
Additionally, a new 20% tariff on imports from China was imposed under IEEPA, taking effect on Mar. 4, 2025.
Current Status
On Feb. 10, 2025, President Trump signed a proclamation expanding the Section 232 tariffs on imports of steel and aluminum, eliminating all country exemptions and tariff-rate quotas.
The new steel and aluminum tariffs went into effect on Mar. 12, 2025. All previous country exemptions and product exclusions have been eliminated.
On March 20, 2025, U.S. Customs and Border Protection posted an FAQ with guidance on determining the value of steel or aluminum content in derivative products.
Latest News
U.S. Initiates Section 232 Investigation on Imports of Copper
[Requesting Member Feedback]
On Feb. 25, 2025, President Trump signed an executive order directing the U.S. Department of Commerce to investigate the national security implications of copper imports. The investigation aims to assess whether reliance on foreign copper threatens U.S. national security and could lead to the implementation of tariffs or quotas on copper imports.
We encourage members to provide insights on how potential tariffs or other trade measures on imports of copper could impact your business and/or the automotive aftermarket industry. Your input will help shape our industry’s response in comments submitted to the Department of Commerce.
The investigation covers imports of copper in all forms, including but not limited to:
- raw mined copper
- copper concentrates
- refined copper
- copper alloys
- scrap copper
- derivative products
Rationale Behind the Investigation
According to the White House fact sheet, copper is integral to various sectors, including defense capabilities, infrastructure development, and technological innovation such as clean energy and electric vehicles. It is an essential material for national security and the Department of Defense’s second-most utilized metal.
The U.S. imported approximately 45% of its copper consumption in 2024, with major suppliers being Chile (6.2 billion), Canada, Mexico, Peru and Germany.
The investigation will examine factors such as domestic production capabilities, the impact of foreign subsidies, and the potential risks associated with over-reliance on external sources. Commerce Secretary Howard Lutnick emphasized the need to bolster domestic copper production to reduce vulnerabilities in the supply chain.
Next Steps
The U.S. Department of Commerce will consult with other relevant agencies to evaluate the national security risks associated with copper import dependency. The department is expected to submit a report to the president within 270 days (on or about Nov. 21, 2025), which will include:
- Findings on whether U.S. dependence on copper imports threatens national security;
- Recommendations on actions to mitigate these threats, including potential tariffs, export controls, or incentives to increase domestic production; and
- Policy recommendations for strengthening the U.S. copper supply chain
Call for Member Feedback
As this investigation progresses, input from industry stakeholders will be critical. We encourage members to share their perspectives on how potential tariffs or other trade measures could impact your business and/or the automotive aftermarket industry.
If you have insights or concerns regarding copper imports and domestic supply chain strategies, please let us know. Your feedback will help shape our advocacy efforts and ensure industry voices are represented in policy discussions.
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