By Keith Naughton, David Welch, and Jennifer A Dlouhy
US automakers are lobbying the Trump administration to exclude certain vehicle parts from tariffs as part of a last-ditch effort to influence the levies before they start taking effect this week, according to people familiar with the matter.
Ford Motor Co., General Motors Co. and Chrysler parent Stellantis NV are seeking to avoid paying duties on thousands of parts they source globally, often from low-cost countries such as Mexico. They have met with the White House, the Commerce Department and the US Trade Representative to discuss the exclusion, said the people, who asked not to be identified revealing internal discussions.
The White House didn’t immediately respond to a request for comment on the auto-parts negotiations. The automakers declined to comment.
President Donald Trump’s levies would tax auto parts made abroad on top of his planned 25% tariffs on fully built vehicles, which are set to start April 3. Detroit’s automakers have conceded that they’re willing to pay tariffs on completed cars and large components like engines and transmissions, the people said, but they argue that the duties on the many parts that make up a modern automobile could have catastrophic consequences on the industry.
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