On September 16, the U.S. Department of Commerce stated that it would evaluate industry requests in the coming weeks to impose additional tariffs on more imported auto components, citing “national security” concerns. In May, the Trump administration levied a 25% tariff on over $460 billion worth of annual auto and parts imports but later agreed to reduce rates for certain countries. On September 15, the Commerce Department announced that domestic automakers, parts manufacturers, and trade associations could petition for tariffs on more parts deemed critical to national security.

The Department noted, “The automotive industry is undergoing rapid technological advancements, including alternative propulsion systems, autonomous driving, and other cutting-edge technologies,” adding that the sector needs opportunities to identify emerging automotive products vital to defense applications.

In August this year, the U.S. Department of Commerce announced plans to increase tariffs on steel and aluminum for over 400 products, including numerous automotive components, with an annual import value totaling $240 billion. The affected parts reportedly include vehicle exhaust systems, electrical steel used in electric vehicles, and components for buses, among others.

Some foreign automakers had previously urged the U.S. Department of Commerce to exclude these parts from the tariff list, arguing that domestic production capacity could not meet current demand. However, steel manufacturers such as Cleveland Cliffs and Nucor petitioned the U.S. government to expand tariff coverage to include more steel and aluminum automotive components.

Additionally, on September 16, the U.S. Chamber of Commerce and multiple industry associations representing both domestic and foreign automakers and auto parts companies jointly called on the Department of Commerce to “halt further expansion of tariffs to avoid exacerbating uncertainty.” In a letter, these organizations stated: “The recent expansion of tariffs lacked sufficient transparency, imposing significant unanticipated costs, complexity, and uncertainty on U.S. businesses.