The president Donald Trump proclaimed on Tuesday that the American automotive industry has made a comeback as a direct result of his tariff policy, during a visit to the General Motors testing complex in Milford, Michigan, where he addressed workers and executives of the automaker.
According to a report from La Jornada, Trump attributed the shift of production lines from Mexico to U.S. territory to the 25% tariff that his administration applies to vehicles manufactured outside the country, effective from April 2, 2025.
"For years, they witnessed how companies moved production from the United States to Mexico, but now they are coming back, and production is shifting from Mexico," stated the leader to those present at the event.
Trump cited Toyota, Hyundai, and Ford as examples of manufacturers relocating operations within the U.S., highlighting that Ford is investing $3 billion to produce parts for a new truck in central Michigan.
Regarding General Motors, the president highlighted that the company increased its production of trucks and utility vehicles by 20% during 2026 and has allocated 9 billion dollars in the last two years to expand its operations on American soil.
The logic of his trade policy, as explained by Trump, is simple: "If you manufacture your truck or car in a foreign country, you have to pay for the privilege of shipping it to our market, but if you build it in a factory in Michigan or somewhere in our country, you pay zero tariffs."
The White House issued a statement titled "Made in Michigan Again," in which it directly attributes these investments to the president's trade agenda, noting that GM is investing $6 billion in manufacturing in the U.S., including the Orion Township plant.
However, specialized media pointed out that some of these investment plans were conceived before Trump's return to the White House, and that tariffs could cost GM up to 3.5 billion dollars, while Ford and Stellantis anticipate costs exceeding 1 billion dollars each.
During the same speech, Trump referred to Mexico in a mocking tone, mimicking the pronunciation of President Claudia Sheinbaum by saying "Me-hee-ho" and threatening to halt all U.S. automotive investment in that country. Sheinbaum had stated on July 23 that no automaker had informed her of plans to leave Mexico.
However, Toyota did announce in July an investment of $3.6 billion to gradually relocate part of the Tacoma production from Tijuana, Baja California, to San Antonio, Texas, in a process that will extend until 2030. Mexican authorities clarified that the Guanajuato plant remains active and that this is not a complete withdrawal from the country.
In parallel, the trade representative Jamieson Greer stated that the new tariffs of 10% or 12.5% imposed on 60 countries for alleged forced labor practices would have little economic impact, as their rates are similar to tariff measures already adopted on a global scale.
"Today, I am proud to say that the automotive industry is back, and America is back," Trump concluded before GM workers in Michigan.
Related videos:
Filed under: