Accept, adapt or exit: US OEMs face China import tariffs

When US President Donald Trump imposed an additional 10% import tariff on Chinese goods, a spokesperson at China’s embassy in Washington warned that “trade and tariff wars have no winners.” On 4 February 2025, China announced reciprocal tariffs on various raw materials and machinery. Most notably for US automakers, an existing 15% tariff on imported vehicles with an engine larger than 2.5 litres was raised to 25%.