The President of the United States has announced the implementation of new tariffs on automobiles and automotive components entering the United States. Effective 2nd April 2025, a tariff of 25% will be levied on imported vehicles. This will be followed by charges on businesses importing vehicles, commencing on 3rd April 2025. Tariffs on automotive parts are scheduled to take effect later this year. These measures are being introduced following the Prime Minister's failure to secure a comprehensive free trade agreement between the United Kingdom and the United States.
In 2023, the Midlands region of the United Kingdom accounted for over 51,000 jobs within the automotive sector, representing 25% of the total UK automotive employment and the highest regional concentration nationwide. A significant proportion of these jobs are located within the Solihull West & Shirley constituency, which is represented in Parliament by Dr Neil Shastri-Hurst.
Dr Neil Shastri-Hurst MP said: "The announcement of a 25% tariff on vehicle exports to the United States represents a significant failure of diplomatic negotiation by the Prime Minister. Despite assurances to the contrary, automotive manufacturers within Solihull and the wider West Midlands now face substantial duties on their exports to a key international market.
This development brings serious concern, particularly given the considerable number of my constituents employed by prominent automotive firms such as Jaguar Land Rover in Solihull and Aston Martin in Gaydon. Economic forecasts indicate that the West Midlands region is projected to experience the most severe impact from these tariffs. The Prime Minister must set out his plan on how he will protect livelihoods in Solihull and support our vital automotive sector.”
