With self-rates, Trump controlled his trade theory in the test star-news.press/wp

Trump President and his supporters have had the main economists about the merits of tariff years. Now, the world will see who is aimed at, the President that tax elms on cars and cars play in the real-time experiment in the global economy.

According to Lord Trump, the fares have a direct effect: the company encourages the factories to the United States, creating more Americans and prosperity.

But for many economists, the impact of tariffs is easy. Tariff is likely to promote home car production in the long run, they say. But they will also work in the objectives of the President, also affect major damage of collateral and guarantees that could be great economies.

That is, because the tariff will rise to the price of cars for consumers, excluding car purchases and slowing the economy, economists say. Rates can also create supply chains and increase the costs of caregivers that depend on imported parts, reducing the production of US cars in the short term.

It could also lead to repetition of US car exports, as well as other products that America companies send abroad, damaged by trade wars.

On Thursday, the global stock market fell, when car stocks had the hardest, investors absorbed the scope of Lord Trump’s plans. Overall Motors’ shares, which imports many of its best cars and trucks in Mexico, fell approximately 7 percent in noon trade. Stellantis and Ford shares were also smaller. The European shares closed Thursday, and with the caregivers who suffer the most serious losses.

When the cars and economists were re-cultivating growth forecasts, America’s allies strung the Lord in imposing the rates, saying that the tax will destroy the global economy. Various decisions were decided.

Brad Setser, the Board economist on foreign relations, said tariffs would lead to more domestic car production in the long run. But it would be “really confusing”, and said, and expensive, American consumers and US economy.

Mr. Setser said that foreign cars would not give up on the US market, and these brands like Toyota, Hyundai and Mercedes can make more cars in the United States to pay rates. In the shorter executor, however, the higher prices could be convinced that some American consumers could not buy cars. Therefore, those in the supply chains that pass through Canada and Mexico, which are subject to foreign parts, can actually cause to fall in the long run.

60 percent of all vehicles sold in the United States and 60 percent of all parts used in automatic factories are imported. Daniel Roeska, announced by an analyst in Bernstein, has been able to see costs of up to $ 6,700 per vehicle sold by automobiles.

“Because you can interrupt the road, the cyclical decline in the car sector seems to be lost, lost jobs, which will attract new investments and also grow over time,” said Mr. Setser.

“It’s pretty dangerous movement,” he added.

Economists also said that the approach has declined to be declining, for foreign cars like Toyota and Mercedes, as well as US brands.

Jim Reide, Deutsche Bank Research Strategist, has noted that he was not a shares falling abroad, but also for general engines, more than half of its cars only includes only one in the United States. “So pain occurs inside, as well as abroad.”

“The current US administration listen, the more you appreciate the performance of the long-term market performance and economic growth, if necessary to meet long-term goals,” said Mr. Reid.

Economists also questioned Mr Trump’s assertions, as fares will strengthen economic growth, investment and procurement, suggesting that they could do the opposite.

In a Thursday note, the economists of Barclays Research said they reviewed their forecasts and expected many slowly from 2024 levels. “But if they realize the worst results on tariffs, these predictions can also be optimistic,” they wrote.

The U.S. Economist in Barclays, said uncertainty on trade policy, would encourage business to make new investments in factories and hire more workers in the coming months.

“We hope to hire less businesses in the next few months,” he said. “Businesses that are resolving the investment decision can also interrupt the recruitment decision. So we see a lot of reduction in labor demand.”

Mr. Trump declined that the tariff would bring a lot of negative effects, rather than a multiple calls for new investments in the United States. In recent months, in addition to accessing additional rates for Chinese, Canada and Mexico, the Lord Trump plans to predict more fits next week.

By speaking on the White House on Thursday, the President said that “businesses will return to the United States, they do not have to pay rates.”

“Many companies will be in good shape because they have already built the plant, but the plants are underestimated, so they will be able to expand high and rapidly,” the automobile said. He added: “Others will enter our town and build, and are already looking for sites.”

Mark Diflacido, a consultant in the United States Office of a Trade Policy in the first term of Mr. Trump.

“As the White House pointed out, 75 percent of American vehicles is done abroad and is imported here,” he said. “Investing in industry and industry and staff is welcome.”

He admitted that he was temporary “interrupt and short-term price price rise”, but similar protection in the past said he helped revive the car industry.

Others say, however, that Carmakers could wait for investment, whether the fares will last. Mr. Trump said that they would be permanent on Thursday and the White House said that he would not give exclusion, both foreign countries and the company expected to trust the President.

“Although it was quite clear, we thought we didn’t think that we shouldn’t assume these things really until these things really have,” Jennifer McKoken, the main global economy over the economy capital.

Prevention of tariffs is already flipping through the car industry. Kit Johnson, with John S. James Co., GA, GA.

The fare pronouns in recent weeks had difficult to plan to customers. “Each announced ad, there are planning sessions, they are running different models to find out what the financial impact will be,” he said. “One thing is one after another.”

Mr. Johnson said the rate believed that they were “counterproductive”. Many companies said he wanted to invest in manufacturing more in the United States, but the faref tried to do that “they would put economic voltage”. “It’s a kind of catch.”

Valerie Benton Smith, Greensboro’s Bill Chevrolet Cadillac Bell Chevrolet, was looking for tariffs, and that they could hurt the prices and shortcomings “in the stores.

He said that the rates suddenly entered, and businesses were not configured to meet customer demand using American cars and parts. “I really think it’s better planning to do,” he said. “There are many domino effects for that.”

The other main question is whether the rates will be spiral in the commercial war. Mr. Trump said at Social Media at the beginning of Thursday at the beginning of the European Union and Canada trying to work together to fight their fares.

“If the European Union works with Canada to make economic damage to the United States, it will be much higher than the provisions of large-scale tariffs, to protect the best friend of each of these countries!” The Lord wrote Trump.

Foreign leaders annoyed the rates angry, though immediately no one immediately settled in response to the rates.

Mark Carney’s Prime Minister said that his countries would enter additional revenge fees in the United States, but they will not end until Wednesday, when the Lord trump wants to present his so-called so-called Mutual tax.

“We will respond by force,” Mr. Carney said. “Nothing is from the table to protect employees and our country.”

The President of the French Emmanuel Macron said while the Tramp said to Mr. Tramp, the rates were “not a good idea.” And he said that the Europeans would respond to the hope of reaching the US President.

President of Mexico, Claudia Sheinbaum, told the journalists, “We will always protect Mexico.” The Mexican government would send “comprehensive” response “to all US rates: so far the lands in steel and aluminum, knocking the country on April 3.

The rates planned by economists can be particularly destructive in Canada and Mexico, which has been integrated into the North American car supply chain for decades.

Flavio Volpe, President of the Canadian Association of Auto Parts, called “Really Blunt Instrument”.

“It is made up of a million American car cars in Canada, with a part of Americans and 55 percent of American raw materials and is ready to throw it from a cliff,” said Mr. Volpe said.

Helped the report Danielle Kaye, Ian Austen, Liz Alderman and Emiliano Rodríguez mega.