EU, Mexico, Volkswagen among those to testify at U.S. import tariff hearing
12/07/2018 23:16
By David Shepardson
WASHINGTON, July 12 (Reuters) - The European Union, Japan,
Canada, Mexico, along with automotive trade groups, Volkswagen
AG VOWG_p.DE , and the United Auto Workers union are among
those scheduled to testify at a July 19 hearing on the Trump
administration's investigation into whether imported autos and
parts pose a national security threat, according to a document
seen Thursday by Reuters.
The U.S. Commerce Department in May launched an
investigation into whether imported vehicles pose a national
security threat.
U.S. President Donald Trump has repeatedly threatened to
impose a 20 or 25 percent import tariff on vehicles and parts.
Last month, two major U.S. auto trade groups warned that
tariffs of up to 25 percent on imported vehicles would cost
hundreds of thousands of jobs in auto manufacturing,
dramatically raise prices on vehicles, and threaten industry
investment on self-driving cars. Major automakers have also
filed comments warning of job losses and lost sales.
At a July 19 hearing, those two groups, the Alliance of
Automobile Manufacturers and Association of Global Automakers,
will testify, as will the National Automobile Dealers
Association, National Association of Manufacturers, Motors &
Equipment Manufacturers Association and groups representing
German and Japanese automakers, according to a draft agenda not
yet made public.
A Commerce Department spokeswoman declined to comment.
Among those testifying are Canada, the EU, Mexico, and South
Africa's ambassadors to the United States, along with other
government officials from Korea, Malaysia, Taipei, Turkey as
well as the China Chamber of International Commerce. Executives
from Volkswagen, Polaris Industries Inc PII.N , LG Electronics
Inc 066570.KS , auto parts firm Jtekt Corp 6473.T and
Sumitomo Rubber Industries Ltd 5110.T .
Some aides have said that Trump is pursuing the national
security probe to put pressure on Canada and Mexico to agree to
concessions in talks to renegotiate the North American Free
Trade Agreement.
The Commerce Department had initially planned two days of
hearings but now will hear testimony for one day.
Commerce Secretary Wilbur Ross said in June he aimed to wrap
up the probe into whether imported vehicles represent a national
security threat by late July or August.
Ross said in May "there is evidence suggesting that, for
decades, imports from abroad have eroded our domestic auto
industry." He asked for comments on "domestic production needed
for projected national defense requirements."
The U.S. Chamber of Commerce noted U.S. auto production has
doubled over the past decade, and said tariffs "would deal a
staggering blow to the very industry it purports to protect and
would threaten to ignite a global trade war."
(Reporting by David Shepardson; editing by Clive McKeef)
((David.Shepardson@thomsonreuters.com; 2028988324;))