The National Auto Parts Industry (INA) highlighted the importance of strengthening the productive integration of the North American region , preserving stable trade rules, and ensuring conditions of certainty for investment, after the United States Supreme Court determined that Donald Trump, President of the United States, does not have the power to establish tariffs by invoking the International Emergency Economic Powers Act (IEEPA), thus nullifying most of the generalized tariffs that the White House occupant has promoted in his second term.
Widespread trade measures, such as the tariffs imposed by the northern neighbor, tend to generate cascading effects throughout the value chain, particularly in a sector where logistical synchronization and cross-border efficiency are crucial , the INA stressed in a statement.
It is worth remembering that after the US Supreme Court ruling, Trump announced the imposition of a new global tariff of 10%, which later rose to 15% , based on Section 122 of the Trade Act of 1974 and anticipated the potential use of other tools such as section 232 (steel, aluminum, automobiles and auto parts), and 301 (products originating in China).
According to the Association of Logistics & Forwarding Agents (ALFA) , the tariffs established under the IEEPA law will no longer apply starting February 24. ALFA noted that there are still no official rules on how or when refunds would be issued, if applicable, and added that sections 232 and 301 remain unchanged in normal customs operations.
The INA stated that in the automotive industry, the lack of certainty not only raises costs, but also introduces frictions that can translate into production delays , inventory adjustments and reconsideration of investment decisions.
Ahead of the review process of the United States-Mexico-Canada Agreement (USMCA) , scheduled for July of this year, the organization maintained that the current moment presents an opportunity to consolidate, rather than fragment, North America’s manufacturing platform. “The region faces increasingly intense global competition in electromobility, industrial digitalization, and the relocation of supply chains.”
He considered that strengthening regional productive integration will be crucial to maintaining North America’s position as one of the world’s most dynamic automotive hubs .
“The National Auto Parts Industry will closely monitor the evolution of the business environment and will continue to provide technical analysis and constructive proposals that contribute to the stability, resilience and competitiveness of the North American automotive chain,” he emphasized.
The auto parts industry in Mexico, with over $120 billion in annual production and its position as the leading supplier of auto parts to the United States, is one of the strongest pillars of regional manufacturing. Every minute, thousands of components cross North American borders as part of a deeply interconnected production system.
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