Auto Care Association CEO Testifies on China Tariffs

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June 19, 2019—Bill Hanvey, CEO of the Auto Care Association, testified before the U.S. Trade Representative on a proposed fourth list of Chinese goods that could come under additional tariff.

The Trump administration has released three lists of items under tariff since last year, totaling about $250 billion. The current tariff rate is 25 percent. As NOLN reported earlier this month, the current tariff lists include things like oil filters, windshield wipers and other items common in quick lube operations.

The administration is still considering whether or not to add a fourth list of items, worth around $300 billion, that includes vehicles and many other auto parts. That's what brought Hanvey before the USTR on June 18.Hanvey

“As prices increase, not only are American jobs lost, but safety-critical maintenance is deferred, thus making American roads less safe,” Hanvey said in his testimony, according to a press release from the ACA.

The ACA has staked out a position against the tariffs and their impact on American supply chains. Companies are already experiencing heavy financial strain from absorbing tariff-related costs, decrease in demand for products, margin pressure and negative cash flow in the wake of current tariffs, according to the release.

At the same time, the ACA says it supports the administration's general efforts to moderate the trade relationship with China. But on the tariff front, the organization is hoping for a resolution.

Image of Hanvey: Auto Care Association

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