According to The Kobeissi Letter, a 25% tariff on imports from Canada and Mexico would significantly raise costs for US automakers, potentially adding approximately $3,000 to the price of certain vehicles among the 16 million cars sold annually in the US. This tariff is also expected to increase food costs, as Mexico supplies over 60% of fresh produce to the US.

According to The Kobeissi Letter, a 25% tariff on Canada and Mexico is expected to increase costs for US automakers, potentially adding approximately $3,000 to the price of some of the 16 million cars sold annually in the US. This development is crucial for traders to consider as it may affect automotive industry stocks and related sectors. Additionally, food costs are projected to rise since over 60% of fresh produce in the US is supplied by Mexico, which could influence commodity markets.