US President Donald Trump has announced that a 25% tariff will be imposed on all imported medium- and heavy-duty trucks starting Nov. 1. The decision marks a delay from the earlier plan to begin the tariff on Oct. 1, which passed without any official order from the White House.
The new tariff is aimed at encouraging more vehicle manufacturing within the United States. Trump made the announcement on his social media platform, Truth Social, saying foreign manufacturers should "build in America or pay the price."
Mexico, one of the largest exporters of heavy trucks to the US, is expected to be the most affected. The country supplies hundreds of thousands of trucks annually to the American market, many for brands such as Freightliner, Kenworth and Volvo.
Under the existing US–Mexico–Canada Agreement (USMCA), trucks built with at least 64% North American content currently enter duty-free. The White House has not clarified whether the new tariff will override this rule or if exemptions will be provided.
Industry groups have warned that the tariff could raise costs for transport and construction companies and disrupt supply chains across North America. Automakers operating across borders are also assessing how the move will impact production.
The heavy-truck levy follows other trade measures under Trump's economic agenda. A planned 100% tariff on pharmaceutical imports, also announced for Oct. 1, has been postponed as the government begins "preparing" for implementation.
Trade experts say the new truck tariff could lead to disputes under the USMCA and at the World Trade Organization. Mexico has already indicated it will consider possible legal action.
The White House is expected to release detailed implementation rules in the coming weeks, outlining how US Customs will classify affected vehicles and components. For now, industries on both sides of the border are preparing for higher costs and further uncertainty in trade relations.
