Trump announces 25% tariffs on car imports to US

Donald Trump has announced new trade taxes of 25% on cars being imported to the US.

The US President said the latest tariffs would come into effect on 2 April, with collections starting the next day.

Trump claimed the measure would lead to “tremendous growth” for the car industry, promising it would spur jobs and investment in the US.

Analysts have said the move will increase prices, hitting brands such as Toyota and Hyundai, and strain relations with allies, including Japan, South Korea and Germany.

Mexico is the top foreign supplier of cars to the US, followed by South Korea, Japan, Canada and Germany.