National & North American Highlights
1. U.S. Announces 25% Tariff on Car Imports
On March 27, 2025, President Donald Trump announced a 25% tariff on car imports to the United States, effective April 2. This move aims to bolster domestic manufacturing but has raised concerns about potential price increases and supply chain disruptions within the automotive industry. The Guardian
2. Hyundai Announces $21 Billion Investment in U.S. Manufacturing
Hyundai has unveiled plans to invest approximately $21 billion in U.S. manufacturing, including the construction of a $5.8 billion steel plant in Louisiana. This initiative aligns with efforts to enhance domestic production capabilities and navigate the evolving trade landscape. Investopedia
3. NHTSA Opens Probe Into Over 2 Million Honda Vehicles
The National Highway Traffic Safety Administration (NHTSA) has initiated an investigation into more than 2 million Honda vehicles, including Pilot SUVs (model years 2016 to 2025) and Ridgeline pickup trucks (model years 2020 onward), due to concerns about engine restarting issues. Suppliers should monitor this situation for potential impacts on production and parts demand. U.S. News Money
4. U.S. Manufacturing Sector Experiences Mixed Signals
In March, U.S. business activity showed modest growth, attributed to warmer weather. However, sentiment deteriorated due to rising input costs, with manufacturing input prices nearing a two-year high. This trend may affect cost structures within the supply chain. Reuters
5. Toyota Buyers Face Extended Wait Times Amid Hybrid Demand
Increased demand for Toyota’s hybrid vehicles has led to supply challenges, resulting in long wait times for buyers. Shortages of parts used in hybrid powertrains, such as magnets and inverters, have impacted suppliers like Aisin and Denso. Toyota is responding by boosting production capacities, including a new battery plant in North Carolina. Wait times vary globally, with European customers waiting 60-70 days and Japanese buyers waiting 2-5 months.
Regional Highlights
Central Region (Ohio, Michigan, Kentucky, Indiana, and surrounding states)
6. Honda to Produce Next-Generation Civic in Indiana
Honda has confirmed plans to manufacture the next-generation Civic in Indiana, shifting production from Mexico. This decision is influenced by recent U.S. tariffs on Mexican imports and underscores Honda’s commitment to U.S.-based manufacturing. Reuters
Southern Region (Tennessee, Alabama, Georgia)
7. Hyundai’s Investment Includes Georgia EV Plant
As part of its $21 billion investment in U.S. manufacturing, Hyundai has begun production at its $7.6 billion electric vehicle plant in Georgia. The facility aims to enhance Hyundai’s EV offerings and strengthen its presence in the U.S. market. Wikipedia
Carolina Region (North Carolina, South Carolina)
No specific updates for this region were identified for this week.
Canada and Mexico
8. U.S. Implements Tariffs on Canadian and Mexican Imports
Effective March 4, 2025, the United States imposed 25% tariffs on imports from Canada and Mexico, with Canadian energy products subject to a 10% tariff. These measures have prompted discussions on potential retaliatory actions and are expected to impact cross-border trade dynamics. Financial Times