00:00US President Donald Trump announced on Wednesday that 25% tariff on imported cars will be imposed
00:12in the United States.
00:13Trump claims that this step will boost domestic manufacturing and generate an extra revenue
00:18of $100 billion annually.
00:19And Trump has also said that this decision is not permanent, but a permanent decision,
00:26which will strengthen American factories and reduce dependency on the global supply
00:33chain.
00:34However, this decision can cause heavy increases in car prices and consumers may have to bear
00:40the consequences.
00:41According to experts, this policy will have a deep impact on the global auto industry
00:46and global trade.
00:47Now, what will be the impact, is it right or not, what is the complete decision, we will
00:52try to understand in this video in 10 points.
00:55First, as mentioned, the US government will receive a revenue of $100 billion.
01:00The White House estimates that America will earn $100 billion annually through tariffs,
01:05which can reduce the budget deficit.
01:08Second, car prices will increase.
01:10If auto companies impose this cost on customers, then the price of an imported car can increase
01:17to $12,500, i.e. up to 10 lakh rupees.
01:20Third point, American manufacturing will get a boost.
01:23The Trump administration believes that companies will set up factories in America and new jobs
01:29will be created here.
01:30Fourth, it will affect the global supply chain.
01:33Many companies order car parts from Mexico, Canada and Asia.
01:37Now, either they will have to pay more costs or the production structure will have to be
01:42changed.
01:43Next, a fall in auto stocks.
01:45So, after this announcement, General Motors and Stellantis Jeep and Chrysler brand's
01:51shares fell by more than 3%.
01:53However, Ford's shares have been slightly increased.
01:56If we talk about India, then here too, the major auto companies whose business is in
02:01the US have seen a crash.
02:03Next is the anger of global leaders.
02:05Canada and the European Union have strongly criticized this decision.
02:09Canadian PM Mark Carney, who has recently taken office, has talked about the protection
02:14of industries, while the EU has warned of a trade war.
02:19In response, the EU threatened to impose a 50% tax on American liquor.
02:24In response, Trump said he would impose a 200% tariff on European wines.
02:30Next is a shock to American consumers.
02:32Experts say that the biggest impact of this tariff will be on the middle class and working
02:37class because it will be even more difficult for ordinary people to buy a new car.
02:42Next is a suggestion in the tax shoot.
02:44Trump has suggested that American buyers will be taxed on an auto loan to get a cut-off benefit,
02:50but this will only apply to cars made in America.
02:54That is, the car that is made in America, people want to buy it.
02:58So, the money you have to pay in the interest of the auto loan, it can be deducted.
03:05Next, it has been said that there is a possibility of increasing inflation.
03:09Economists believe that this tariff will increase inflation, which will put pressure
03:14on the American economy and customers will have fewer options.
03:17Now, more loss or benefit than a tariff.
03:20So, Trump's decision is expected to boost the domestic auto industry.
03:24But along with this, there will be pressure on the economic situation of consumers,
03:29global trade tensions will increase, inflation can increase.
03:32So, will this decision prove beneficial for the American economy?
03:37Or will it have the opposite effect?
03:39It remains to be seen.
03:41What do you think?
03:42Tell us by commenting.
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