The Trump administration has announced tariffs on passenger cars and trucks entering the U.S. market. This move marks a significant shift from previous trade policies, which have been criticized for harming the working class and the auto industry. The new tariffs are seen as a step towards returning manufacturing jobs to the United States.
United Auto Workers (UAW) President Shawn Fain praised the decision, stating, “We applaud the Trump administration for stepping up to end the free trade disaster that has devastated working-class communities for decades.”
The tariffs are expected to bring back thousands of auto jobs to U.S. communities by increasing production at underutilized plants. Companies like Ford, General Motors, and Stellantis have previously outsourced many jobs to Mexico, resulting in significant layoffs at their U.S. facilities.
Production has decreased by 2 million units annually at several plants over the past decade. For instance, the Warren Truck Assembly Plant in Michigan currently has over 1,000 laid-off workers, with production being shifted to Mexico. The UAW believes tariffs can reverse such trends and restore jobs in the U.S.
Volkswagen was recently criticized for labor violations during contract negotiations in Tennessee, where a shift was eliminated. Most of its North American products are made in Mexico, making use of low-wage labor. The UAW suggests shift restoration and production relocation to the U.S.
The Big Three automakers have closed several facilities over the past two decades. However, the UAW remains hopeful that these tariffs will encourage reinvestment in American workers and U.S. communities.
The UAW is urging the Trump administration to renegotiate the US-Mexico-Canada Agreement (USMCA), claiming it perpetuates NAFTA’s detrimental effects. They advocate for a North American minimum wage and stronger labor rights protections.
“We are heartened by the significant measures they have announced today,” the UAW stated, emphasizing the need for aggressive action to protect U.S. jobs.
The UAW also insists that automakers should absorb the tariffs’ costs and not pass them onto consumers. Workers should be shielded from any reshoring disruptions, with potential federal financial support to mitigate impacts.
The UAW President concluded, “The auto companies have been given time to plan, and now it’s time to act.” The UAW remains committed to collaborating with any political leaders willing to prioritize the working class.