Tariffs boost US auto jobs but create mixed outlook for manufacturers

Employment in the US automotive sector, which fell in 2025, has started to climb again in 2026, according to the Bureau of Labor Statistics. The rebound follows the re-imposition of a 25% tariff on imported cars after Donald Trump resumed the presidency, prompting makers such as General Motors, Ford and Toyota to announce plant expansions and partial reshoring. Analysts argue that the impact is limited and counterbalanced by uncertainty surrounding the North American trade pact, especially after Washington signaled it will not renew the agreement and will review it annually until 2036.

Honda executives have hinted at a new North-American plant, but warn that the trade-policy haze could jeopardize such plans. Parts-supplier investment fell sharply after 2025, but is now showing a modest recovery, while manufacturers anticipate a production rise to about 11.3 million vehicles by 2030 following announced multi-billion-dollar projects.