Wilbur Ross Completes Section 232 Report – Auto Industry Executives Going Bananas….
Commerce Secretary Wilbur Ross has completed the section 232 investigation on the auto industry, reviewing the sector as a vital economic interest for continued national security.
The content of the investigative finding is unknown. The Commerce Department has privately delivered the 232 report directly to the White House. However, with the possibility of the report empowering President Trump to implement 20 to 25% import auto tariffs industry executives are proactively going bananas.
An important aspect here is that the USMCA (U.S., Mexico and Canada) agreement exempts the trilateral North American pact from any auto tariff fear. If the vehicle consists of 75% North American (USMCA) content, there’s no tarif
At the 30,000 ft level, the USMCA deal positioned the U.S. and Mexico to retain their current multinational investments; and through a series of sector-by-sector standards on origination the deal simultaneously closed the fatal NAFTA loophole.
The USMCA agreement makes an economic manufacturing partnership between the U.S, Mexico and Canada; and for assembly products third parties will have to produce parts and origination material within the U.S. and Mexico.
https://theconservativetreehouse.com/2019/02/18/wilbur-ross-completes-section-232-report-auto-industry-executives-going-bananas/