Trump's 'American-Made Cars' Initiative Faces Steep Economic Hurdles

President Trump's push for American-made cars faces significant headwinds, according to a recent CNBC report. The report highlights the substantial cost increase of producing vehicles with 100% US-made parts. Industry experts interviewed for the report emphasize the challenges of sourcing all components domestically. "It would be unrealistic, if not impossible, to profitably build a 100% American-made car right now," stated one executive. Ford CEO Jim Farley added that shifting entirely to US-based production would make new cars more expensive and significantly impact the company's competitiveness. The increased cost of materials alone, before accounting for manufacturing investments, could add thousands to a car's price. One expert estimated that it could cost more than $5,000 to produce a car with 75-80% US and Canadian parts, with an additional $5,000-$10,000 needed to reach 90%. This cost increase could lead to decreased demand and lower production, potentially impacting the entire automotive industry. The report underscores the complex economic realities behind the push for entirely domestically produced vehicles.