Auto lobbying giants unite as industry prepares for more tariffs on May 3

When rival auto groups link arms, you know something serious is brewing.

Driving the news: In a rare move, six major auto policy organizations—including dealer, supplier, and OEM reps—signed a joint letter to the Trump administration, warning that the looming 25% tariff on imported parts could derail the U.S. auto industry.

• The April 21 letter, first outlined via CNBC, was addressed to Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Trade Representative Jamieson Greer.

• And it carried signatures from leaders of the Alliance for Automotive Innovation, American International Automobile Dealers Association, Autos Drive America, vehicle suppliers association MEMA, National Automobile Dealers Association, and American Automotive Policy Council.

Their message? This isn’t just bad policy—it’s an economic landmine.

The concern: Parts suppliers are the “canary in the coal mine,” Cody Lusk, CEO of AIADA, told CDG News.

The joint letter didn’t mince words either: “Most auto suppliers are not capitalized for an abrupt tariff induced disruption. Many are already in distress and will face production stoppages, layoffs and bankruptcy.”

The signal: Suppliers are already on the edge. If they snap, it won’t just halt production—it’ll ripple through service lanes, dealer lots, and straight to consumers.

Between the lines: This kind of unified front doesn’t happen often. According to Lusk, the last time groups like these rallied together was during the fight against the border adjustment tax in Trump’s first term. 

And for dealers—especially import-heavy ones—that danger feels personal.

• It’s not just higher vehicle prices. 

• Lusk also flagged the real pain points: parts shortages choking service lanes, assembly delays thinning inventory, and operations strained long before customers see the sticker shock.

What’s at stake: Analysts are projecting $100B+ in added costs, millions of lost vehicle sales, and no quick fixes for global supply chain snarls, according to CNBC.

Worth noting: While President Trump has suggested he’s open to delaying tariffs, Lusk made it clear—time is the most valuable bargaining chip right now. 

What we’re watching: With May 3 closing in, the coalition isn’t asking for a free pass—they're asking for breathing room. Lusk says Japan’s already visited the U.S., South Korea lands today, and the EU was one of the first to the table.

Bottom line: An infrequent show of unity from across the auto industry underscores what’s at stake and the message to Washington is clear—hit the brakes before lasting damage is done.

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