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The American Automotive Policy Council, representing General Motors, Ford, and Stellantis, has criticized the trade agreement reached between the Trump administration and the UK for harming the American automotive industry. According to the trade agreement released by both the US and UK, the UK automotive industry can export 100,000 vehicles to the US at a tariff rate of 10%. The quota number is roughly the same as the number of US vehicles imported by the UK last year. The industry organization pointed out that this means the tariff cost of vehicles imported from the UK to the US is 10% lower than vehicles imported from Canada and Mexico at a 25% tariff rate, even though the latter have half of their components from the US. This action will harm American car manufacturers, suppliers, and workers. Union organizations have stated that they do not want this arrangement to become a precedent, allowing other countries to import cars under the same standard and putting vehicles imported by the Big Three automakers from Mexico or Canada at a disadvantage.
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