Trump will announce auto tariffs at 4 pm ET with many inquiries to be answered

Press Secretary Karoline Leavitt, in today’s briefing confirmed that Trump will announce auto tariffs at 4 pm ET today.

Reports on what is coming are scarce. It’s not at all clear who these will target, when the will go into effect and if they will also be on auto parts.

The market has tilted on this with the S&P 500 down 1.2% and Nasdaq down 2.1%. Despite that, automotive stocks are taking it in stride with Ford down 1.6% and GM down 1.7%. That could be a sign those names will be protected from competition but I think it’s a sign the market isn’t that worried about North American tariffs.

My suspicion is that this is a short piece of theatre. European officials for awhile have been saying they would or could lower US auto tariffs. They may be preparing to do that before April 2 or in the near future. That would create an off-ramp to remove these tariffs and an opportunity for Trump to declare a victory.

If I’m wrong, there is going to be some real trouble but — in any case — it will take some time to sort through this mess. Here is an idea of who could me most-affected. Of them, I have the hardest time figuring out an off-ramp for South Korea but just this week, Hyundai announced a big plant investment.