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U.S. sets process to expand auto parts subject to 25% tariffs

Published: 27 Jun. 2025, 09:23 Updated: 27 Jun. 2025, 14:40

Automobiles for export are parked at a port in the southeastern port city of Ulsan on Jan. 14. [HYUNDAI MOTOR]

The U.S. Commerce Department has established a process to include more imported automobile parts in the list of those subject to 25 percent tariffs, a release showed Thursday, a move that could affect Korea's auto parts industry.

This week, the department's International Trade Administration (ITA) outlined the process by which U.S. domestic producers may request additional auto parts be included in the scope of the new tariffs on automobile parts that took effect on May 3.

"This program will strengthen the objectives of Section 232 tariffs to protect critical U.S. national security interests related to automobiles and automobile parts," ITA said in a press release.

To impose the tariffs on automobiles and certain parts, Trump invoked Section 232 of the Trade Expansion Act of 1962 — a statute that provides the president with authority to adjust imports into the United States when he determines they threaten to impair national security.

To receive requests from U.S. producers of auto parts, the ITA is establishing two-week submission windows held four times a year in January, April, July and October, with the first window opening on July 1. It plans to review received requests on a rolling basis during the two-week submission window.

Following the two-week submission window, a nonconfidential version of each valid request will be published and open for public comment for 14 days, according to the ITA, which plans to make a determination within 60 days of receiving the request.

The items subject to the current tariffs on auto parts include engines, transmissions, powertrain parts and electrical components.

Yonhap