Navigating Trump’s Tariff Impact: Trucking Industry’s Uncertain Journey
President Trump’s recent tariff announcements have thrown the trucking industry into a state of uncertainty. The trade war revved up on Tuesday as President Donald Trump slapped a 25% tariff on imports from Canada and Mexico. By Wednesday, the administration tapped the brakes, granting a 30-day exemption for automakers to adjust their supply chains to the U.S. Then, on Thursday, the impact softened further—Reuters reported that Mexico won’t have to pay tariffs on goods covered under the United States-Mexico-Canada Agreement (USMCA) until April 2. As tensions escalate, trucking industry leaders are weighing in—here’s what they have to say.
In a statement on Tuesday, American Trucking Associations President and CEO Chris Spear sounded the alarm on the sweeping impact of tariffs, warning that over 100,000 truckers—who move 85% of surface trade with Mexico and 67% with Canada—will feel the strain. Beyond cross-border trade disruptions, the financial burden is mounting, with the ATA estimating that new truck prices could rise by as much as $35,000.
But the effects won’t stop there. The trucking industry’s struggles are set to ripple through the broader economy. In an email to FreightWaves, Dean Kaplan, president of The Kaplan Group, cautioned, “We’re likely to see a cascade of impacts, from potential decreases in freight volumes as trade potentially contracts, to increased operational costs for carriers themselves.”
The Owner-Operator Independent Drivers Association (OOIDA) weighed in on the issue but noted that it’s still too soon to gauge the full economic fallout. However, the organization cautioned that the tariffs “Could have the potential to stall the recovery from a freight recession that has hit America’s small-business truckers the hardest.”
Canadian trucking companies have also voiced their concerns over the tariffs. The Canadian Trucking Alliance (CTA) has called on the Canadian government to introduce relief measures to support the industry as it grapples with the economic strain. In a statement, the CTA warned that layoffs are already underway, with as many as one in three fleets surveyed in Ontario reporting workforce reductions—a figure expected to rise as the full impact of the tariffs unfolds.
As uncertainty looms over the industry, trucking companies on both sides of the border are bracing for tougher times ahead. Without targeted relief measures or policy adjustments, the tariffs could further disrupt supply chains, increase costs, and place additional pressure on small and mid-sized carriers struggling to stay afloat. President Donald J. Trump announced adjustments to tariffs imposed on imports from Canada and Mexico in recognition of the structure of the automotive supply chain that strives to bring production into America. While the situations at our Northern and Southern borders continue to require appropriate action from the Governments of Canada and Mexico, our American automotive industry, which provides American jobs, should not suffer significant disruption just because of the structure of its supply chain, said The White House
