A probe launched by the Trump administration into whether tariffs are needed to protect the domestic auto industry is long past due, leading some industry insiders to speculate that it could be delayed until after the midterm elections.
A decision was originally expected last month, but Commerce Secretary Wilbur Ross postponed it without setting a new date. The administration hasn’t given any indication since then of when it will act, leaving stakeholders on the edge of their seats.
Many believe that the Commerce Department’s report is finished, said a representative at one major trade association, and the administration is just waiting for an opportune time to release it. Others aren’t so sure, seeing the possibility that the White House could still release it next month. The only thing that is consistent, according to industry groups, is that the administration has been tight-lipped about its plans.
It could be a lengthy time, others note. “They technically have until February,” noted Stacy Day, spokeswoman for the Chamber of Commerce. Day said the Chamber had not been given any indication of when it was coming out.
The Senate Finance Committee is planning to hold a hearing on the forthcoming probe on Tuesday. The committee had not been given a heads-up that a decision is coming, said a source with knowledge of the matter.
The Trump administration has proposed additional 25 percent tariffs on foreign autos and auto parts imports. The tariffs are proposed on national security grounds.
The Commerce Department was originally expected to produce a report in August that would justify the need but Ross said at the time that ongoing negotiations with the European Union and the two North American Free Trade Agreement countries, Canada and Mexico, have given the administration reason to extend the deadline.
Since then there has been little progress on either front, despite extensive and ongoing talks between the U.S. and Canada to allow the U.S.-Mexico under the North American Free Trade Agreement.
Spokespeople for the Commerce Department and White House did not respond to requests for comment.
