Trump Administration Launches Investigation into Imported Trucks, Paving the Way for Tariff Hike

According to foreign media reports, the US Department of Commerce has launched a new round of national security investigations into imported medium- and heavy-duty trucks and their parts, a move that could lead to comprehensive tariff adjustments in the commercial vehicle industry. The investigation, initiated under Section 232 of the Trade Expansion Act, will assess whether the growing US reliance on foreign-made engineering trucks, vans, and buses poses a national security threat. This investigative approach mirrors significant tariff actions previously implemented in other sectors of the automotive industry.

The aforementioned investigation will cover trucks weighing over 10,000 pounds, their parts, and derivative products. These vehicles are primarily used for transporting goods in North America, rather than the light-duty pickup trucks commonly used by consumers. The US Department of Commerce stated that the truck investigation commenced on April 22, coinciding with other trade investigations covering copper, lumber, semiconductors, critical minerals, and pharmaceuticals.

The core of this investigation lies in the possibility of implementing new import tariffs, which would have a significant impact on countries such as Mexico, Canada, and Japan, with Mexico facing the greatest impact. As the largest supplier of commercial trucks to the US, Mexico has tripled its exports of commercial trucks to the US since 2019. Mexico is home to 14 major truck and bus manufacturers and two engine manufacturers, with 95% of Mexico's tractor trucks currently exported to the US market.

The US Department of Commerce has extended the public comment period until mid-May, aiming to gather feedback on whether domestic truck and parts production in the US is sufficient to meet US demand. Meanwhile, US government officials are also soliciting opinions on issues such as import concentration, foreign production surpluses, and potential unfair trade practices that could distort the US market.

This latest move follows US President Trump's decision earlier this month to impose a 25% tariff on imported light-duty vehicles. Tariffs on imported automotive parts are expected to be implemented by May 3 at the latest, a move that has sparked strong opposition from the automotive industry. Industry representatives have warned that this will lead to increased costs and disruptions in the vehicle supply chain.

If the US implements new tariff policies on commercial vehicles, it will place new pressure on transportation costs at a time when the Trump administration has made reducing inflation, particularly consumer goods prices, a top priority. Rising vehicle costs could ripple through the entire supply chain network, affecting logistics, small businesses, and fleet operators that rely on economical commercial vehicles.

Major global automakers may also be affected. Stellantis, which produces heavy-duty Ram trucks and commercial vans in Mexico, may face increased production costs. Meanwhile, the Volvo Group is investing $700 million to build a new heavy-duty truck plant in Monterrey, Mexico, with the plant expected to commence production in 2026. This project may also be impacted by the investigation.

This investigation adds new uncertainties to North American automotive trade, requiring automakers to weigh increased costs, regulatory changes, and long-term strategic decisions regarding vehicle production and procurement.