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U.S. Looks to Protect Domestic Car Makers From Foreign Competition


(Timothy Puko – Wall Street Journal)

The Trump administration is pursuing ways to protect domestic vehicle manufacturing by forcing imported cars to meet stricter environmental rules when entering the country, according to senior administration and industry officials, a move that would make imports more expensive.

The cost of meeting the stiffer import standards would, at least in part, be passed along to U.S. consumers. This style of “nontariff barrier”—a protectionist stratagem the U.S. has long condemned in other countries—is designed to reduce the relative cost of cars manufactured in the U.S., by American workers, the officials said.

President Donald Trump has asked the Environmental Protection Agency and several other agencies, including the Commerce and Transportation departments, to pursue plans to use such laws as the Clean Air Act to subject cars made overseas to strict emissions-standards testing and reviews when entering the U.S. The rules could effectively require more expensive technology on some foreign cars or subject those cars to more expensive hurdles that can be billed to the manufacturer or importer. Click here to read more.

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