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Dozens of Questions: How Are Trump’s Auto Parts Tariffs Affecting the Broader Economy?

Photo of a car being assembled by robotic arms

Lenny Kuhne via Unsplash

Dozens of Questions: How Are Trump’s Auto Parts Tariffs Affecting the Broader Economy?

President Donald Trump made economic waves earlier this year when he announced a 25% tariff on imported automobiles and parts with the stated goal of revitalizing U.S. auto manufacturing. Yet as of summer 2025, the majority (92%) of Mexican-made auto parts continue to enter the United States tariff-free.

That’s because of a March 2025 revision that exempts cars and parts manufactured in compliance with the United States-Mexico-Canada Agreement (USMCA) from tariffs.

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Agribusiness and Hospitality Sectors, Threatened by Deportations, Poured Millions Into Republican Victories

Farm workers weed a bell pepper field in southern California.

Photo by Etienne Laurent/AFP via Getty Images

Agribusiness and Hospitality Sectors, Threatened by Deportations, Poured Millions Into Republican Victories

President Donald Trump’s messaging about deporting undocumented farm, food and hospitality workers has shifted multiple times in recent days, with his latest comments indicating he may be open to a middle-ground solution.

Despite appeals from affected industries and Trump’s comments in support of leniency in such sectors, ICE agents resumed deportation-related work last week, edging the Trump administration nearer to its goal of 3,000 arrests every day. This reversal comes as congressional Republicans continue their work on the “Big Beautiful Bill,” Trump’s wide-ranging policy initiative that would add $75 billion to the ICE budget over the next five.

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Trump’s Erosion of America’s “Soft Power” Will Have Economic Impacts
A person holding a stack of dollar bills that are flying away.
Getty Images, PM Images

Trump’s Erosion of America’s “Soft Power” Will Have Economic Impacts

President Donald Trump has championed a strong, often confrontational posture toward many nations, defining his foreign policy as “America First.” This is a new U.S. that the world is dealing with, no longer the chief architect of the multilateral world of markets, democracy, and human rights that the U.S. has been, albeit imperfectly, since World War II.

But since Trump has been in office for only five months, it’s too early to tell the ultimate impacts. However, one thing is becoming increasingly clear. The Trump administration’s posturing is causing an erosion of what is known as “soft power.” And that is starting to result in some negative economic impacts.

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Insider trading in Washington, DC

U.S. senators and representatives with access to non-public information are permitted to buy and sell individual stocks. It’s not just unethical; it sends the message that the game is rigged.

Getty Images, Greggory DiSalvo

Insider Trading: If CEOs Can’t Do It, Why Can Congress?

Ivan Boesky. Martha Stewart. Jeffrey Skilling.

Each became infamous for using privileged, non-public information to profit unfairly from the stock market. They were prosecuted. They served time. Because insider trading is a crime that threatens public trust and distorts free markets.

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