Trump tariff turmoil: Michigan lawmakers meet with auto dealers amid tariff uncertainty
Gov. Whitmer meets with auto dealers amid Trump tariff turmoil
With the Trump administration's looming 25% tariffs on imported auto parts, the impact is hard to predict, according to Thad Szott of Szott Auto Group. "From a dealer perspective, I think every dealer is in a unique situation. Different manufacturers have different challenges," he said. That's why Whitmer and Dingell sat down with around 15 different Metro Detroit dealership owners to discuss tariffs and how they might affect Michigan’s economy.
DETROIT (FOX 2) - The impact of auto tariffs appears to be uncertain, according to Governor Gretchen Whitmer and Representative Debbie Dingell.
What they're saying:
With the Trump administration's looming 25% tariffs on imported auto parts, the impact is hard to predict, according to Thad Szott of Szott Auto Group.
"From a dealer's perspective, I think every dealer is in a little bit of a unique situation. Different manufacturers there's different challenges," he said.
That's why Whitmer and Dingell sat down with around 15 different Metro Detroit dealership owners to discuss tariffs and how they might affect Michigan’s economy.
"It’s the total chaos of the way this has been done," Dingell said. "A part will cross Canada or Mexico’s border four or five times, and they don’t know how that’s going to be treated.
Szott says it was a solid discussion. Many dealers have seen an influx of customers looking to buy before tariffs take effect.
But what happens next is hard to prepare for.
"Everyone in this town is tied to the industry somehow, someway, and we were basically sharing ideas and thoughts on how we can make sure, during some challenging times, that we’re all on the same page and can come up with solutions to calm the customer base," Szott said.
Another aspect is suppliers.
Dig deeper:
MEMA represents hundreds of auto suppliers. Its president, Collin Shaw, says the tariffs will put a squeeze on suppliers because they’ll need to pay tariffs immediately but are paid infrequently.
"Yesterday we actually signed on with and had been working with other associations that represent dealerships," Shaw said. "OEMs across the United States, and really wrote a historic letter on behalf of suppliers urging the administration to reconsider the auto parts tariffs."
Governor Whitmer shared her thoughts on a solution.
"I just assume we’d go back to the tariff policy before January 20. But if that’s not the case, then to be able to say this is the goal, this is how we’re going to manage it, and this is how we’re going to help American businesses—not just changing it every so often and expecting businesses to be able to plan, make investments, or make hiring decisions," she said.