During a recent event in Michigan, former President Donald Trump made several false claims regarding Chinese automakers and the future of the auto industry in the United States. Trump stated that Chinese automakers were building large factories in Mexico and threatened to impose 200% tariffs on any vehicles produced in these hypothetical plants and shipped to the U.S.
He also suggested that if Democratic Vice President Kamala Harris were to be elected, the U.S. auto industry would cease to exist as work on electric vehicles would supposedly move to China. However, data shows that auto industry employment has actually increased since President Joe Biden took office in January 2021, following a decline during Trump's first term.
Trump claimed that if he were not re-elected, the auto industry would disappear within a few years, alleging that China would take over manufacturing plants due to the rise of electric cars. He proposed imposing tariffs on imported autos to compel foreign automakers to establish factories in the U.S., despite the presence of multiple foreign-owned factories in the country, particularly in southern states.
Contrary to Trump's assertions, auto jobs saw a 13.6% increase under Biden's administration, reaching over 1.07 million in August 2021. Auto sales also rose by 2.4% in the first half of the year. Trump's plan to impose tariffs on Chinese vehicles made in Mexico lacks evidence, as industry analysts have noted that there are no major Chinese-owned auto factories under construction in Mexico.
Furthermore, Trump vowed to levy tariffs on vehicles from other countries that tax U.S.-made vehicles, potentially leading to increased costs for consumers. The Harris campaign responded to Trump's claims, emphasizing the importance of preserving auto jobs in Michigan and promoting domestic manufacturing to maintain the state's leadership in the global auto industry.