Discover the Cars Unscathed by Biden's Tariff Law

Cars Exempt from Tariffs

Some vehicles have managed to escape the brunt of these tariffs due to various factors, including their origin of manufacture and trade agreements. Here are a few categories of cars that remain largely unaffected:

• North American Manufactured Vehicles: Thanks to the United States-Mexico-Canada Agreement (USMCA), vehicles manufactured in North America enjoy tariff-free status. This agreement has replaced the North American Free Trade Agreement (NAFTA) and ensures that cars produced in the U.S., Canada, and Mexico are not subject to additional tariffs when traded between these countries².
• Electric Vehicles: While tariffs on Chinese imports remain, certain strategic exemptions exist, especially for components essential to EVs, such as batteries. The Biden administration has emphasized the importance of transitioning to clean energy, which includes supporting the EV market³.
• European Luxury Brands: Despite tensions over tariffs on European goods, many luxury car brands have managed to avoid significant tariffs. This is partly due to ongoing negotiations and trade agreements between the U.S. and the European Union aimed at reducing trade barriers⁴.